06 January 2011
ASSESSEE COMPANY IS FORMED IN FEBRUARY 2010. THE COMPANY HAS PURCHASED VEHICLE FOR BUSINESS PURPOSE,AS THE COMPANY IS NEW THE SELLER SOLD THE VEHICLE ON THE NAME OF ONE OF THE DIRECTORS.
CAN THE COMPANY SHOW THE VEHICLE IN COMPANIES ACCOOUNTS AND CLAIM DEPRECIATION?
06 January 2011
If the vehicle has been transferred to company by the director, Company can claim the deprection.As per AS 10 , legal ownership is not required, But it must be clear from the documents that assets is being used by the compnay.
CAclubindia
