- This topic is empty.
December 5, 2018 at 12:43 pm #999191
January this year I started a Pty.Ltd. company, mainly for rental of mining machinery that I own personally. I work in the mines W.A. full time and as opportunities present themselves I have purchased. So far not too bad, showing an income in 2/4 quarters.
Now: With profit I (Pty.Ltd) have bought a ute. I do not plan on driving ute, just on selling to highest bidder, make a profit and on to the next project. As Pty.Ltd paid for ute it belongs to my company, not me. I fill out the paper work for transfer of ownership and the W.A. transport people knock me back saying I need a asset register to transfer ownership.
How can I have a asset register if I do not have a registered asset? That is like saying do not go in the water until you can swim!!!
Now the 15 days are up to transfer…. I have blown that with work. I just want to bring the plates in and throw it onto the desk and say “You can sort this mess”. I can double the money spent on reselling the engine alone…. Parts will never be on the road again or sell the ute as off road for underground mining… The most profit will be to sell rego’ed…. but how do I prove company ownership set up as shares with no printed shares and no asset register?
I brought in transfer papers, all company registration papers, invoice/bill of sale, last bas statement, and a form that the first person said I had to fill out that was of no use to the second person there…..
What can I do?December 6, 2018 at 12:15 am #1218255Paul – FS ConciergeKeymaster
- Total posts: 3,173
I don’t know if this helps but…
An Asset Register is for internal and accounting purposes and records assets over the prescribed value in Accounting rules eg, $1000. It does not relate to registrations with Transport Departments.December 6, 2018 at 5:39 am #1218256
Thanks for the reply Paul,
Yes, that is what I have read also. This will be my first asset in the company name, not for long as I will be on selling or scrapping it.
I will try again today, but I do not have much hope on getting it done.
The grinder is ready to cut the plates off…. And then it will likely be a fight retuning them as the ute is not rego’ed in my company name because they will not transfer ownership…… So very frustrating!!!!
No problem setting up bank accounts, no problem paying BAS, no problems anywhere except W.A. Transport… (Bang head on desk)…December 6, 2018 at 2:16 pm #1218257
Up Date: So I go down to the W.A. Transport office this afternoon with the same information I had the last time. No real change but a hair trigger on spitting the dummy…. I am ready for strike 3 and on to plan “B”.
I go through the motions of taking the ticket to be served, she was calling me over before but tickets are dated and I had the other two also…
I go straight over to her counter and spread everything out in front of her:
Her: How can I help?
Me: We try this again.
Her: You have been here before with this?
Me: Yes this is the third time, I don’t know what else I can do…
Her: Vehicle transfer?
Her: Into a company name?
She takes the transfer papers (the same ones I had the first and second time there)
Her: This is all I need.
Me: WHAT!!! (Yes I was nearly shouting)
Her: This is all I need, That will be $167.55 Please
Well my mouth drops open, I am in shock…..
I swipe the company card and enter pin before she has a chance to change her mind…..
Me: Before I was asked for proof of company ownership, an asset register but I can not supply anything more than I have already have,
Her: All good but I will take a copy of your drivers Licence and this.
She takes a copy of my licence and a application for a bank account that was never used by the bank. ( I already had a business account (mortgage) with NAB for a commercial property) I did not need to submit the starter paper work opening up the company. She did not require the copies to transfer ownership but as they were there she took them.
The only thing I can think of that has changed is they received the paper work from the seller.
Advice to anyone else self inflicting pain dealing with W.A. Transport: Do not give up, bring everything that has got to do the company, I meant EVERYTHING….
All said and done, I went out to my car sent off 10 texts with photo (only one) and within 4 hrs. have an offer to double my money…. I will give it 2 weeks and take the highest offer.December 6, 2018 at 10:44 pm #1218258Paul – FS ConciergeKeymaster
- Total posts: 3,173
PersistenceDecember 6, 2018 at 11:10 pm #1218259bb1Participant
Caauug, post: 263326, member: 99319 wrote:The only thing I can think of that has changed is they received the paper work from the seller.
- Total posts: 4,485
I am so glad to see that WA transport are doing their job properly and not just transferring ownership to anyone that walks in the door, how would you feel if it was your vehicle as the original owner and they transferred ownership without the proper documentation, and now suddenly your car was my car.
We all hang it on government departments, but they are their to protect us as well.December 7, 2018 at 7:34 am #1218260steve201Member
- Total posts: 278
The fact that you need a Fixed Asset register for company property in WA shows at least one government in Australia has it right.
As an accountant myself, I can say the ute your company owns is a corporate asset and cannot be sold off like it is your own ute. Frankly it is not yours to sell.
You should be very careful registering the ownership of any company assets because there are differing legal consequences. For example, in the building industry over east many companies – including Pty Ltd – are caught by the PPSR or principal property securities register which identifies asset ownership in the event of issues surrounding asset sales.
So the fact that you need a Fixed Asset Register is really simple to fix, as Xero has a Fixed Asset module built in. You can easily create a register in around 1-2 hours of work.
It might be inconvenient , but please remember it is designed to protect your company.
SteveDecember 7, 2018 at 10:37 am #1218261
I find it very hard to believe that I being Sole Director of a PTY. Ltd. company set up to buy, sell, and rent equipment (mainly for the mines) can not buy and sell a mining ute…. Paid for buy company funds and when sale(s) happens all funds will be to the company account.
I, as Sole Director, did not buy the ute to drive or for company use, it is to make a profit only. Yes GST will be charged and submitted in the correct quarter, and profit shown at year end.
So you as an accountant are telling me my company can no longer trade?
Ummmm, NO! Sorry I do not believe you.
As I read it, an asset register is a live internal company document set up for deprecation purposes for tax. This ute does not fall under that category.
It will be sold for a profit very soon, as whole or in pieces, On the road or off, it matters not to me as long as company makes money.
The company has already bought sold, rented and scrapped equipment, the only difference this one is road reggo’ed. No government department has complained so far…… they all got paid…..December 10, 2018 at 2:00 am #1218262James MillarParticipant
- Total posts: 1,702
Sounds like this purchase was for trading stock rather than fixed assets for depreciation. On that basis it would not appear in a fixed assets (depreciation) register.Helping build better businesses and better lives with expert financial and taxation advice. email@example.com www.360partners.com.au 03 9005 4900December 15, 2018 at 6:45 pm #1218263rackroom92Member
- Total posts: 3
I was thinking what James wrote, sounds like a second hand car dealership would deal with your issue daily
- You must be logged in to reply to this topic.