DEPRECIATION ON CAR

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

07 January 2011 if car is purchased on the name of the director of a company and the same is uesd for the purpose of business of the company then can depreciation be claimed in the company if yes pls quote some case law

CMA. Dinesh S Adhikari, ACMA

CMA. Dinesh S Adhikari, ACMA (Expert)
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07 January 2011 For claim depreciation for busines, it has been mentioned u/s 32 that ownership has to be in the name of the owner or business.

Therefore, here ownership in the name of the directors so you cannot claim depreciation.

But if you want to show as a expense then you should show this amount as rent paid to directors, what i think so.

However, let the other experts show their opinions on the same.

regards
Dinesh s. Adhikari