street legal UTV as business expense
I have a powersports business. We handle repairs, maintenance, and after markets parts/builds for offroad vehicles. We purchased a Can-Am side by side in the business name to build up as a show vehicle/advertising (most of our business comes from people who meet us out riding and/or see our posts of the SXS on social media). We are in North Carolina where SXSs are street legal and we have it registered.
My question is two-fold: 1) Since it is street legal and registered, should the expenses be categorized as auto expenses instead of the usual equipment? 2) What parts of the costs should be categorized as advertising (e.g. do the loan, parts, gas, registration, etc costs get booked under vehicle expenses and only the signage gets booked to advertising?)?
