Tax treatment for car bought on loan-proprietorship
This query is : Resolved
04 February 2013
I am proprietor and want to buy a car on bank loan to use for my business purpose. Can I use the ex-showroom price of car towards claiming yearly depreciation on WDV and components of yearly interest, road tax and insurance as expense. Since the car would be hypothcated to the bank, can I still claim depreciation on that.
04 February 2013
Yes, you can claim depreciation on your purchase price i.e invoice price and all other expenses you can claim like road tax,like tax, insurance and maintain expenses etc..... and also interest on loan you can claim as expenses and deduction allowable. In case if you use such car for personal use then the proportinate of expenses for such use will be disallow as personal expenses.
OM SAI SRI SAI JAI JAI SAI
OM SAI SRI SAI JAI JAI SAI
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Regarding appeal to GSTAT
- Value of property in capital gain
- Copyright software
- SALE OF MOTOR CAR BY REGISTERED INDIVIDUAL
- Transporter Declaration form
- Regarding TDS Applicability For Director Remuneration
- Multiple trade mark
- LC charges in relation to Asset purchased should be Capitalised ?
- E-Invoice applicability for new Startup
- Opting our of sec 44AD
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
