Tax Treatment For Unregistered Recons?

[anxious]

I know unregistered recon cars from UK and Japan are given lower interset rate and treated as new cars. How about tax treatment for unregistered recon cars. For busineess, a new car below RM150k(eg ACCORD/CAMRY 2.0) is allowed to claim RM100k capital allowance. Does the same treatment apply to unreg recon cars below RM150k. Thanks

 

[fugowitz]

Yes. Imported recon & unregistered car can be passed off as "new" for capital allowance entitlement. It has been done before.

 

[OSFlanker]

Yes. Imported recon & unregistered car can be passed off as "new" for capital allowance entitlement. It has been done before.

It has been done but has it been challenged? I believe recond cars has the word "terpakai" on the JPJ reg card, so if it is challenged then you are on shaky ground.

 

[BeemerSTER]

I thought capital allowance cap is RM150k(vs RM100k) for new/recon cars if the car is above RM150k?

OSFlanker,

Good point. Spoke to a friend recently and his auditors & tax agents advised his recon cars to be declared as "used" cars which allows up to RM50k for capital allowance. Anyone has got first hand experience on getting challenged and survived?

 

[fugowitz]

Like I said, it has been done before. Stuffs like this isn't suitable to be further put in words.
I'm a CA.