Please Help: Accounting Treatment
Posted Date : 02-Apr-2017 , 09:28:25 pm | Posted By rahul bansal
how to treat when can is purchased in the name of proprietor and down payment and installments are paying by firm
Category : Accounts | Answers : 0 | Comments : 6 | Hits : 546
Answers:
Comments
ajay
05-Apr-2017 , 03:32:15 pmit can be treated as a drawings by such partner from the firm for paying his personal car's installment.
Deepak
07-Apr-2017 , 08:20:46 amIf that is a personal nature than debit it in capital account.
gurdeep ahuja
20-Apr-2017 , 01:31:52 pmIt will be treated as Business Expenses except where it is incurred for Personal use.Since Propritor is a Individual entity & expenses incurred for business purpose, it should be entered in firm accounts
sunil vishwakarma
24-Apr-2017 , 05:28:05 pmIf it is used by business purposes, You still claim depreciation & other expenses. Search Case Law beneficial to you.
sunil vishwakarma
24-Apr-2017 , 05:31:13 pmRefer Swagat industries Ahemdabad Tribunal judgment -ITAT 2013
Nikhil Raj
04-Jul-2017 , 01:39:20 pmGood Morning Rahul, The answer to the query depending upon the use of the assets. If you can substantiate that the Can is used for the beneficial interest of the Co, then it is treated as business expense and accordingly claim Depreciation. In case of proprietorship concern , whatever is in the name of proprietor and used for his business can be allowed as deduction for the depreciation on the same.