Go AD-Free with CAclubindia Pro and Daily WhatsApp Updates. Subscribe Now!

Can I buy a car in my individual name where the payment is done by LLP

1657 views

Save Share

Guest

Hi. Can I buy a car in my individual name where the payment is done by LLP? We are four partners in our LLP. Can I get the car registration in my name or will it be on all four partners? We would like to claim all the expenses, maintenance, and depreciation through LLP. Do we face any issues while selling it after some years?

Replies (2)

Quick Summary

This discussion explores the feasibility of purchasing a car using LLP funds but registering it in an individual partner's name. Key concerns include tax implications for expenses, depreciation, and potential complications during resale or changes in partnership. The alternative of registering the car directly under the LLP's name is also considered, along with its potential issues regarding partner exits or new joiners.

Guest

Thanks for your prompt response. If we purchase it on our LLP then the car is under all the 4 partners' name or LLP name. In future if any partner exit/resign from LLP or any new partner joined in LLP, will there be any complications in this?