Defferred Tax Liabilities

This query is : Resolved

anand (Querist)
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22 September 2010 Hi, this is anand (Mgr. A/C) from Urmil Motors.
My quarry is about Deffered tax liability.

See We have Demo Car for Test Drive Demo (to our new customer) purposes amounting Rs.70 lac.

Is there any DT liability should be raised while we are using these for business generating purpose.

Urgent

regards,

CA Suraj Lakhotia

CA Suraj Lakhotia (Expert)
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22 September 2010 Demo Car is a Fixed Asset for Automobile retailers. The defered Tax asset/liability arising due to timing difference on account of difference in depreciation is to be created.