SURAJIT SARKAR (29 Points)
11 April 2022
prasad Nilugal
( GST Practitioner & Accounts )
(14300 Points)
Replied 12 April 2022
sabyasachi mukherjee
(26843 Points)
Replied 12 April 2022
SURAJIT SARKAR
(29 Points)
Replied 12 April 2022
prasad Nilugal
( GST Practitioner & Accounts )
(14300 Points)
Replied 12 April 2022
As per AS10 Fixed assets is an asset which held with intention of being used for the purpose of producing Goods or providing services for Business , so if you are using this car for personal purpose you can not show as Fixed Asset in the Balance sheet of the Business . AS 10 is restricting for that . Therefore if you are withdrawing money from Business for purchase of CAR same will be treated as Drawings of Sole proprietor .
Pass entry
1) Drawings A/c Dr
To Bank
( Being amount withdrawn from Business for purchase of CAR )
2) Drawing Transfer to Capital entry
Capital A/c Dr
To Drawing A/c Cr
( Drawings transfer to capital account )
please confirm with others also .
prasad Nilugal
( GST Practitioner & Accounts )
(14300 Points)
Replied 12 April 2022
CAclubindia
