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GST on old vehicle sale

Shalin Agrawal (8 Points)

04 October 2019

kya old vehicle Jo ki vat regime me purchase hua tha aaj yadi use beche to GST charge HOGA kya ?

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7 Replies

Pawan Agrawal (94 Points)
Replied 04 October 2019

If vehicle is personal assets then no gst, if it is firm asset then pay gst

KARTHIK DAMLE (ARTICLED ASSISTANT) (87 Points)
Replied 04 October 2019

Pay GST on margin but need to check it's wdv . if it's sold less than that fine no GST is applicable. otherwise you have to pay

Amit Saini (Chartered Accountant) (45 Points)
Replied 04 October 2019

As per Schedule II of CGST act entry no 4 where any business assets is transferred is to be considered supply of goods and accordingly GST is chargeable on that

Pankaj Rawat (GST Practitioner) (55037 Points)
Replied 05 October 2019

Haa ji hoga lekin on profit value per (Sale -purchase )

As per Notification 8/2018 CT (r)

Vehicle of Vat Regime Sold in GST Regime :
GST is applicable on Profit Margin (Sale-Puchase ) & if it is loss then No GST is applicable

Gaurav Dixit (119 Points)
Replied 05 October 2019

GST would be chargeable.

CA Bhinang Tejani (Teacher..) (734 Points)
Replied 05 October 2019

Darshan Jain (CA) (137 Points)
Replied 05 October 2019

GST on old and used cars is governed by Notification No. 8/2018-Central Tax (Rate), Dated 25.01.2018. Thus, if the car was subjected to depreciation under Section 32 of the Income Tax Act, 1961; GST is required to be paid on margins. The amount subjected to GST shall be the difference between the consideration received for supply of such goods and the depreciated value of such goods on the date of supply. If the difference is negative, in that case you need pay tax.