30 July 2010
An Individual having certain personnel assets (like Motor Bike,Maruti Car etc) are sold in F.Y.209-10. No Depreciation cliamed till date thereon either in books or under tax.
Now whatever the profit/loss on sale of the same, how to be considered the same from tax point of view & how to be effected in books which shown as fixed assets prior to their sale.
30 July 2010
In my opinion, income on sale of motor bike,Maruti car on which no Dep. is claimed till date are not subject to tax as these are personal effects. Surplus/deficit should be reflected in profit & loss account.
30 July 2010
if car and other assets are personal in nature than by provisions of Capital gain exclusions these assets are non taxable and profit and loss directly transfer to capital.
CAclubindia
