Welcome to the Community, Rupa.

Let me share information on how to record business car purchases in QuickBooks Online (QBO).

Beforehand, we want to let you know that we don't propose mixing business and personal expenses. That way, you can go over your business flawlessly. However, there will be times when we can't prevent it from happening. So, if that time comes, we can follow the process below to handle it in QuickBooks.

In QBO, you can create an asset account to track the current value and depreciation of your vehicle.

Here's how:

1. Go to the Gear icon, then select Chart of Accounts.
2. Select New.
3. In the Account name field, enter the name of the account.
4. From the Account Type dropdown, choose Fixed Assets.
5. In the Detail Type dropdown, select the option that closely describes the asset.
6. Name the account, then select the Track depreciation of this asset checkbox.
7. Enter the current value of your asset in the original cost field and the as-of-date.
8. When you're done, select Save and Close.
9.  

On the other hand, to record the business expenses you paid for with personal funds, you need to create a journal entry to record the business expenses you paid for with personal funds.

After that, we have the option to decide on a reimbursement method, such as recording it through checks or as an expense. When doing the process, we suggest consulting with your accountant or a QuickBooks Certified ProAdvisor to guide you through the process to ensure the accuracy of your account since they know what's best for your business.

To create a Journal entry, here's how:

1. Click + New and choose Journal Entry.
2. Select the expense account for the purchase.
3. Enter the purchase amount in the Debits column.
4. Next, select Partner's equity or Owner's equity.
5. Enter the same purchase amount in the Credits column.
6. Then, Save and close.

For the second option, refer to this article for complete details: Pay for business expenses with personal funds.

Furthermore, please know that we recommend avoiding mixing business and personal expenditures. To learn more about handling returns to owners, partners, or employees, check out these resources:

• Pay for personal expenses from a business credit card or bank account.
• Reimburse an employee.

Let us know if you need anything else related to QuickBooks. We are always happy to lend a hand to you. Take care always and have a great business!