How to book iphone purchased by directior ?

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How can I account for Iphone purchased by Directior of private limited company for his personal use in companies accounts? Payment for Iphone has been made by company account. Can I show it as Fixed Asset in company books?

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If it is gift from company then show it as expense in company accounts, like staff welfare exp or gift and entertainment exp, something like that, if the phone is for official use as well as personal use then it may be taken as fixed asset

 

My doubt is, if Iphone is for personal use, and gifted by company wouldnt that be perquisite recieved by employee from employer thus income in the hands of employee? waiting for reply from learned experts

Hi Vinayak,

Most of the phones are using by directors / employees of the companies for both purpose i.e., official as well as personnel.  In the above case there is no personal expenditure involved it, hence you can debit to fixed assets account as office equipment.


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