Let us suppose a person $P$ is standing on earth. A car with velocity $v$(close to the speed of light) went past him. If the person's watch showed $t$ time and if the car measured $t'$ time,then which one will be the proper time?
I have two explanations and each one of them gives different result. First of all the watch was on the person's hand. So the watch was at rest in the person's referencr frame. So $t$ should be the proper time and the equation should be $t'=\frac{t}{\gamma}$.
Another one is that the car's clock was also at rest in the car's frame,so the time showed by the car will be the proper time and hence the equation should be $t=\frac{t'}{\gamma}$.
Maybe i haven't understood the concept of special relativity yet or maybe i haven't realised figuring out events which may be important in this case. I think the event is clocks measuring the time. Please correct me the place where i am making the mistake and fix my concept.