Want to sell company registered car to director for cheap price. possible?

Pvt ltd 317 views 3 replies

I have a private limited company with 2 directors that i am going to wind up/close. This company has some fixed assets, cash in bank, and 2 cars.

i want to sell the cars to the directors for a cheap price and write-off the other fixed assets (depreciated).

 

is this even possible? if yes, whats the best way to do it?

Replies (3)
yes you can sell but diff between price after depre and price received required to book loss

Provisions of Section 188 of the CA 2013 needs to be follow.

Accounting Standard 18 and section 188 should be complied... If the transaction is not at arm's length... It shall attract sec 188


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