How to calculate gain or loss for disposal a car from a company to an individual

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(Newbie)Newbie

19 Sept 2024

Hi there,

The company has a car, which purchased on 01/08/2015 for $89236. The car limit for that year is $57466. The company had stopped the trading and the car was sold to the director for $15000 on 01/03/2024. Until the date of selling, the depreciation for this car was $57466 (fully depreciated for car limit), the rest of $31770 (89236-57466) was not been depreciated. So how should we calculate the gain or loss for disposal the car? Should it be 15000-31770=16770 for accounting purpose on financial report? or for tax purpose using adjust balancing?

Thank you very much.

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