Purchase of a car by a legal entity from an individual

Purchase of a vehicle for corporate needs is a standard procedure, but the execution of a transaction between the organization and a private seller has its legal subtleties. Unlike buying from a dealer, there is no guarantee, but there is often a win in price. It is important for the accounting and management of the company to properly prepare all primary documents in order to avoid problems with the tax inspectorate when checking expenses.

The main difficulty is that natural The company is not a VAT payer and the buyer usually takes this tax into account in its activities. If you miss important points in the contract of sale or incorrectly assess the market value of the car, the Federal Tax Service may consider the transaction suspicious. Therefore, the step-by-step algorithm of actions should be worked out in advance.

In this article, we will discuss how to legally correctly conduct a transaction, what taxes will have to be paid and how to put the car on the balance. We pay special attention to the nuances of filling PTSD and the transfer of funds. Proper execution will protect the company’s assets and ensure transparency of accounting.

Tax implications and VAT accounting

The first thing that accounting faces when buying a car from a “physicist” is the question of input VAT. Because the individual does not issue invoices and is not a value-added tax payer, the entity cannot take deduction. VAT from the cost of the car. This is a key difference from buying from an official dealer or other company on the OSNO.

The cost of the vehicle is fully included in the fixed assets of the organization. The amount actually paid to the seller is used to calculate the income tax. It is important that the price in the contract is reasonable and corresponds to market realities. Underestimation or overestimation of the value can raise questions from regulatory authorities.

⚠️ Note: If the transaction is made between related persons (for example, the director sells his car to his own company), the tax authority has the right to check the compliance of the market price. In case of significant deviations, additional charges are possible.

The organization must also keep and transfer to the budget. NDFL (13%) from the sale amount if the car was owned by the seller for less than three years (for property acquired after January 1, 2016, and five years in some cases before this date) and the selling price exceeds the cost of its acquisition. However, in most cases, when selling used cars, an individual submits a declaration of 3-NDFL independently next year.

Required documents for the transaction

For the legitimacy of the operation and the putting of the car on the balance sheet, it is necessary to collect a package of documents. The absence of at least one of them can lead to a refusal to register with the traffic police or problems during the audit. The main document confirming the transfer of ownership is the contract of sale.

The list of required papers is as follows:

• 📄 Passport of the vehicle (PTSD) - the original where the seller inscribes the new owner.
• 📝 Sale contract (PrEP) - is in simple written form, notarization is not required.
• 🆔 Passports of the parties - a copy of the passport of the head of the organization and the original passport of the seller-individual.
• 💰 The act of acceptance and transfer is a document that records the actual state of the car and the absence of claims.
• 🧾 Payment order or cash order - confirmation of payment.

It is worth noting the role separately. transfer-deposit. It records the mileage, the presence of damage, the configuration and the fact of the transfer of keys. Signing this document means that the buyer has accepted the goods in the current state. Without an act, in the event of hidden defects, it will be more difficult to prove the organization’s rightness.

Procedure for the execution of the contract of sale

The contract of sale of the car between the legal entity and the individual is drawn up in an arbitrary form, but must contain the mandatory details. Errors in the data may result in the invalidation of the transaction. It is better to fill out the document on a computer to exclude discrepancies in handwriting, although the legislation allows for a handwritten version.

The “cap” of the contract indicates the date and place of the transaction. The parties prescribe their full data: for the organization - name, TIN, checkpoint, address and representative (director), acting on the basis of the Charter; for an individual - name, passport data and registration address.

The subject of the contract describes in detail the object: brand, model, VIN code, year of release, engine number and chassis, color, license plates. The price is indicated by numbers and a letter in rubles. It is also important to prescribe the procedure for settlements: cash through the cashier or non-cash transfer to the seller's account.

⚠️ Please check the VIN code in the contract carefully. One incorrect figure will make the document invalid for the traffic police, and the car will have to be deregistered or corrected through the court.

Do I need a notary for a PrEP car?

Notarization of the contract of sale of a car between a legal entity and an individual is not required by law. The transaction is valid if the parties have their own signatures and a simple written form is observed. The services of a notary will be required only if one of the parties wants to give the transaction additional evidentiary force or if the car is pledged / joint property of the spouses, and consent is required.

Payment and transfer of funds

The legislation establishes a limit of cash payments between legal entities, as well as between legal entities and individual entrepreneurs / individuals within the framework of entrepreneurial activities. Currently, the limit is 100 000 rubles for one contract. If the car is more expensive, the balance of the amount necessarily I need to get him through the bank.

Payment can be made in two main ways:

1. Non-cash payment to a card or account of an individual. It's the most transparent way. The purpose of payment must be specified: "Payment under the contract of sale of the car (brand, VIN) from (date)".
2. Cash through the cash register of the organization. In this case, a cash order is issued (RKO), which is signed by the seller. The amount in RKO can not exceed 100 thousand rubles.

Using directors or employees’ personal cards to pay such amounts is strongly discouraged as it mixes personal and corporate finances, which is not acceptable for accounting. All money must go through the company’s accounts.

Balance sheeting and depreciation

After signing documents and payment, the car must be reflected in accounting. The vehicle is considered to be accounted for as primary at the initial cost, which consists of the amount paid to the seller and the costs of registration with the traffic police, delivery and pre-sale preparation.

An inventory card is formed to be recorded. From the month following the month of commissioning, depreciation begins to be charged on the car. The useful life is determined by the Classification of fixed assets (usually passenger cars belong to 3-5 depreciation groups).

In tax accounting, purchase costs are also recognised gradually through the amortization mechanism. It is important to keep all primary documents, as they are the basis for reducing the taxable base for income tax or USN "Income minus expenses".

| Parameter | Organizational activities | Term/Note |

| :--- | :--- | :--- |

| Evaluation | Market Value Check | Prior to signing the DCP |

| Payment | Transfer to an account or cashier | On the day of the transaction or under the contract |

| Registration | Registration with the traffic police | Within 10 days |

| Accounting | Commissioning (OS) | Month following purchase |

| Taxes. | Cost accounting (depreciation) | Monthly |

Typical errors and risks

When buying a car from an individual, organizations often step on the same rake. One of the most common mistakes is ignoring the history check. Legal purity of the transaction does not guarantee that the car is not pledged to the bank or is not listed in theft.

Another risk is related to technical condition. Buying used cars without diagnosis from an official dealer, the company risks getting a “cat in a bag”. Unlike consumers, it is more difficult for an organization to invoke consumer protection law because the transaction is commercial in nature (B2C, where C sells B).

• 🚫 Purchase of a car from a person who is not the owner, without a notarial power of attorney.
• 🚫 Indication in the contract of understated cost for "savings" (risk for the seller and the FTS to the buyer).
• 🚫 The absence of the act of acceptance and transfer, which makes it impossible to prove the moment of transition of risks.

⚠️ Attention: Before the transaction, be sure to check the car on the databases of traffic police, FSSP (for the presence of debts from the seller) and the register of pledges of movable property. Buying a mortgage car can lead to its withdrawal by the bank, even if you are a bona fide buyer.

Registration with the traffic police

The final stage is the registration of ownership in the traffic police. The organization must put the car on the account within 10 days after the conclusion of the contract. To do this, you will need to provide the inspection with a sales contract, PTS, a CTP policy (issued for the organization or the driver with a power of attorney, but it is better immediately for the organization), the applicant’s passport and power of attorney for the company representative.

State fees for registration and issuance of new license plates (if required) are paid by the organization. After obtaining the registration certificate (STIS) and making an entry in the PTS (if it is paper) or in the electronic register, the car officially becomes the property of the company and is ready for use.

The registration process for legal entities often requires pre-registration and may take longer due to document verification. Make sure that the representative of the company has a valid power of attorney with the right of overconfidence or a specific indication of the right to register the vehicle.

Do I need to change the numbers when buying a used car?

According to the new regulations of the Ministry of Internal Affairs (from 2020), you can save old license plates if they correspond to GOST and are readable. The organization has the right to leave the previous numbers, which will save the state duty. However, if the car is bought in another region, it is not necessary to receive new numbers with the code of the region of registration of the owner (organization) - you can drive with the numbers of the region of issue until the car is removed from the register or sold.

Can the director buy a car from himself?

The law does not prohibit a director from selling his personal car to a company he runs. However, such transactions are under close scrutiny of the tax. The price must be strictly market, and all payments are made officially through the bank. Any scheme with cashing through such transactions will be regarded as a tax offense.

What if there is no room for a new owner?

If the paper PTS ran out of fields for records, before the transaction, the seller (individual) must receive a duplicate of the PTS in the traffic police. Without free space in the column "Special marks" or "Owner", the inspector will refuse registration. For electronic PTS (EPTS), this issue is solved automatically when the owner changes through the operator system.

How to apply for a CTP policy on a purchased car?

You can issue an OSAPIO policy immediately after signing the PrEP, even before a visit to the traffic police. A copy of the contract and the PTS is sufficient. In the policy, the owner indicates a legal entity, and in the column "Persons admitted to management" you can enter specific employees or issue a policy without restrictions (which is more expensive, but more convenient for the fleet).