Looks like the clear coat is pealing under my fuel cap around the hole. Can't see it unless you have the cap of but I don't want it to get worse and start spreading.

Any ideas on how to address?

 

I don't know if it can be undone, sounds like gas drips or overflow from the years gone by. It looks kind of dorky, but I always use one of the paper towels at the gas station and hold it under the nozzle when I put the nozzle in or out. The first week I had my bike I was putting the nozzle into the tank and a whole bunch of gas spilled out over my whole tank. Ever since then I've used the paper towel.

So to answer your question, switch to vegetable oil.

 

This will cover and seal the area around the tank bung......i have these on my tanks
http://www.jpcycles.com/product/720-479

Landmark Renegade Style Dual Gas Cap Set


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J&P Part: 720-479
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Yea-I wanna see um

 

if the paint is lifting, the damage is already done..fuel soaked paint acts like a wick in an oil lamp. to save it if it is only under the cap, take a razorblade and cut a ring just past the bad spot, then peal/scrape the bad paint of. i worked at a dealership that started selling moto-guzzi, they had a lot of warranty claims because they painted the tank into the bung area. we were instructed by the factory to clean the paint up a little to prevent this.. it seamed to work, i never saw a problem after that.and no rust issues, the fuel fumes were enough to protect the bare steel.