depreciation

You can't claim depreciation in the books of company for director's personal vehicle.

However, if you take an undertaking from that director & company that such vehicle will be wholely used by company for official purpose, Dep can be claimed, considering consideration & TDS provisions.

Depreciation can't be calimed by the company unless it is capitalised in the bokks of company.

YES ATUL IS RIGHT.

Mr. Anand

If the Car is shown in the books under the head Fixed Assets then you have to claim depreciation at is compulsory to claim depreciation.

Regards

Vijay Kumar

If the car is capitalised in the books of the company, [ hope the payment has been made by the company and name of the company is also mentioned on the invoice ] the company will claim depreciation and it will be an allwable expense even if it is partly used for personal purposes also.

If V go as per Mr. Deepak and as per term of agreement between company and the director dep. can be claimed adn further FBT will be calculated.

No, company can't claim the depreciation. The same is held in various case law held by the different authorities

Dear sirs,

if suppose the above mentioned person has a personal business apart from being director of a company; and he transfers the car which he was using  for his personal business and his personal use to the company the will capital gain be applicable ( as car is personal effect)?

thanx