Sale of Car which is booked in Pvt. Company books but in RC book it is in the name of Director

Tax planning 860 views 2 replies

If Car is purchased through Car Loan and it is paid by Pvt. Ltd. company. But in RC book it is in the name of the director. Company is claiming depreciation and other vehicle expenses. Now, Director want to sale this Car. 

In this situation can company take amount of sale of Car or Director?

Please suggest what is best practice as per Income Tax Act?

Replies (2)
I think sale consideration cannot be claimed as it is used by Director and in RC also name of director is given
Sale receipts will go to the company only.
the director cant take money.

in the books of company record sale of car


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