Capialisation of vehicle brought & used in abroad

This query is : Resolved

Anupam (Querist)
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11 February 2013
what is the accounting treatment in current financial year for the vehicle which is purchased by an employee in his own name ( not in the name of company).How do I capitalised this asset in the books of company

Sanjay Chauhan (IFRS)

Sanjay Chauhan (IFRS) (Expert)
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13 February 2013 It cannot be capitalised unless the Company becomes the owner of asset.

The payment in the given scenerio should be considered as prepaid employee cost and amortised over the contractual term of the employee contract.