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ABOUT CAR

1273 views 1 replies

Kumar Gaurav

Going...to be C.A soon...

1624 Points Joined June 2007

RESPECTED ALL,

IF A PERSON HAS A CAR IN HIS NAME AND NOW HE BECAME THE PROP. OF A NEW FIRM AND HE WANT TO SHOW THE CAR AND FUEL, REPAIRING EXPENSES IN FIRM BOOKS THEN HOW CAN HE SHOW EXPENSES IN BOOKS BCOZ CAR IS REGISTERED IN THE NAME OF PROP.

THANKS

Replies (1)

siddharth

C.A.

175 Points Joined June 2007

Hi Gaurav, Even if car is in person name he can claim expeniture IF it is incurred for official purpose of the firm. further, the firm should maintain proper log book i.e.details of Expenses incurred for Offical and personal use of the person. If no details is maintained then ITO may not allowed u to claim the entire expenditure. Also u need to keep in mind the FBT provision also.