Ask a tax advisor on the topic of Other questions to tax advisors

Purchase-Sales-Transfer

December 29, 2013 | 30,00 EUR | answered by Dipl.-Kfm. Frank-Olaf Illiges

Hello,

I want to buy a tractor for 89,250 euros gross. I am trading in another tractor for 50,575 euros gross. This tractor is financed through a bank. The remaining amount to be paid off is 16,050 euros. The seller of the new tractor will pay off this amount. The remaining 34,525 euros is the down payment for the new tractor. The book value of the old tractor is 17,040 euros.

I always book cash transactions with SKR 01. How do I need to book the purchase/sale/payoff?

Thank you.

Dipl.-Kfm. Frank-Olaf Illiges

Dear inquirer,

Thank you for your inquiry, which I am happy to answer, taking into account your commitment and the rules of this platform.

Please note that my explanation is based on the situation presented, and that adding, omitting, changing information, or the ambiguity of the information can change the tax result.

You can book the business transactions as follows:

1. Purchase of the new tractor:

0210 Machinery 75,000.00 EUR
1579 deductible input tax (19%) 14,250.00 EUR to cash register 1000 89,250.00 EUR

2. Sale of the old tractor

Cash register 1000 50,575 EUR to 8710 Revenue
Asset sale (19%) 42,500.00 EUR
1879 VAT 19% 8,075.00 EUR

2030 Asset disposals (book profit) to 0210 Machinery 17,040.00 EUR

0730 Loans (bank) to 1000 Cash register 16,050.00 EUR

Sincerely,
Dipl.-Kfm. Frank-Olaf Illiges
Tax advisor
Am Wieksbach 55
33378 Rheda-Wiedenbrück

Phone: 05242/4055666
Fax: 05242/4055677
e-mail: office@illiges-steuerberatung.de
Internet: www.illiges-steuerberatung.de