There is a car being purchased in the name of director and for the use of director, but the expenses will be paid by the Company.
Can someone please advice whether the same can be enforceable as per Law?
If yes, can you give me a copy of resolution?
Mohammed (CS, Mcom, LLB) (852 Points)
19 April 2012There is a car being purchased in the name of director and for the use of director, but the expenses will be paid by the Company.
Can someone please advice whether the same can be enforceable as per Law?
If yes, can you give me a copy of resolution?
DIBYENDU
(SERVICE)
(266 Points)
Replied 19 April 2012
If the car is wholly & exclusively use by the director of the company then you may show your expenses against these car such as fuel, maintenance, repairing cost etc. is is allowable expenses in hand of the company & it is included as perqusite of directors salary for which he pay tax. you may passed a specific resolution on Board in this regard.
DIBYENDU
(SERVICE)
(266 Points)
Replied 19 April 2012
If the car is wholly & exclusively use by the director of the company then you may show your expenses against these car such as fuel, maintenance, repairing cost etc. is is allowable expenses in hand of the company & it is included as perqusite of directors salary for which he pay tax. you may passed a specific resolution on Board in this regard.
Mohammed
(CS, Mcom, LLB)
(852 Points)
Replied 19 April 2012
can some provide with a company of resolution please?
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