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applicability of gst

27 July 2018

a financial institution seized a vehicle from it's customer for irregularity in payment of EMI... now that seized vehicle is sold to another customer... so my question is.. who will issue invoice for this transaction and whether gst is applicable for this transaction?????

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Pankaj Rawat (GST Practitioner) (55057 Points)
Replied 27 July 2018

As proviso to Rule 32 (5) of the Central Goods and Services Tax Rule,2017 which says that in case of sale of repossessed goods from a defaulting borrower, who is not registered, the value of the output will be the difference between (a) actual sale price; or (b) depreciated purchase price, taking a depreciation of 5% per quarter or part thereof, from the date of purchase till disposal. The value of the output will be taken as nil, if (a) is less than (b).