Professional paper
CARS IN COMPANY’S ASSETS
Jasna Vuk
orcid.org/0000-0003-2975-5776
; RRiF College of Financial Management, Zagreb, Hrvatska
Abstract
Upon performing its business activities a company may use the cars owned by
the company or the cars leased according to the agreement on financial lease. The
taxation and the accounting treatment of a company’s car depends on the way it
has been purchased and the fact whether such a car is to be used for the transportation
of employees, board members or for performing a business activity. In terms
of taxation, the cars used for the personal transportation of employees and board
members have a less favourable tax position according to the VAT Act and the Profit
Tax Act, compared to the cars used for performing a business activity.
Keywords
cars; assets; financial lease; taxation; value added tax
Hrčak ID:
177388
URI
Publication date:
31.12.2016.
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