Sold Car to Company by Board of director

Dear Experts
If One of Our Company Board of Director Sold His Car to Company how can i to be an account?
Replies (4)
Quick Summary
This discussion addresses the accounting treatment when a company purchases a car from one of its board of directors. It clarifies the necessary documentation required for such a transaction, distinguishing between the director's personal assets and the company's business entity. The core issue is identifying appropriate documentary evidence in lieu of a standard sales invoice for audit and bookkeeping purposes.

What  document  Director  has  given   to company  instead  of  Sales  Invoice  of Car  as documentary  evidence ,when he sold his car  to Company ?,

My question  to   Anonymous  is  no documentary  evidence  is  needed  from  Related   party  to  enter  transaction    in to  Books  of  Accounts and for  Audit  purpose  .  

Now that you have an idea about all the documents that you will need while selling a car, let’s deep dive into it. All the documents can broadly be classified into three categories:

  • Car Documents
  • Individual Documents
  • RTO Documents

Car will be purchased by a company. Why would anyone need documents. Remember the business entity concept? Director is director and business is business. 

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