Old car sale

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A company sold an old car for less than its book value in December 2020. The sale was made to an unregistered dealer within the same state for Rs. 0.60 Lac, resulting in a loss of approximately Rs. 0.03 Lac compared to its book value. The user is seeking urgent advice on how to declare this transaction in their GSTR 1 return, as they were advised not to charge GST because the sale was below book value.

sona1

sona1 (Querist)

05 December 2020 In year 2009 we were purchase a Marti car with our company name Value Rs. 3.80 Lac (app) after Depreciation for the year 2009 to 2020 Book Value comes in Till date (Nov,20) Rs. 0.63 Lac (app) .This current month i.e Dec,20 we sale this car to a UNREGISTER DEALER IN GST (With in State) ) value Rs. 0.60 Lac (app) with Invoice , So as per IT act we have loss on sale 0.03 Lac (app) against Maruti car & as per our car dealer advise we have not charge any GST against this Invoice because loss sale car not charge any gst as per gst act they are said Please advise how we show this Invoice in GSTR 1 Return….

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

05 December 2020 No GST applicable on it as it's sold below book value.
Show it under exempt sale.

sona1

sona1 (Querist)

08 January 2021 Sir in GSTR 1 Return where we show this TRANSACTION for Old Car Sale value which Not charge any GST urgent basis because GSTR 1 Return come

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

08 January 2021 Show it under exempt sale.

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