Sale value of asset forms part of aggregate turnover in gst?

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This query is : Resolved

SIJU VARGHESE (Querist)

18 December 2018 Dear Experts,

A firm is providing healthcare services which is exempted from GST.

In this case,

1. Whether sale of used Medical Equipment like CT Scan Machine liable for GST?
2. Whether sale of used Equipment in profit or loss would form part of aggregate turnover?

Thanks

Udaya Chandran

Udaya Chandran (Expert)

18 December 2018 As per my opinion,

1. Yes, GST is applicable
2. Yes, to be included in turnover

SIJU VARGHESE

SIJU VARGHESE (Querist)

18 December 2018 Thank you sir for the reply. I have modified the query with the word "used" Medical Equipment". Will it make any changes in your answer?
Also, please see the below details as an example;
Purchase Value of Equipment (Rs.1 Crore plus GST @18% Rs.18 Lakhs) Rs.1.18 Crores
Book Value of the Machine as on today Rs.95 Lakhs
Sale Value of Machine Rs.80 Lakhs
GST on Sale, if applicable @18% Rs.14.40 Lakhs

Here the Govt. is getting double tax on same equipment as the Firm couldn't take Input Tax Credit as it provides exempted service.

Udaya Chandran

Udaya Chandran (Expert)

18 December 2018 Whether it is used or new, GST is applicable. If the buyer supplies taxable goods or services, he can avail the input tax credit.

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