Hi All,
Very good morning.
We are in the process of selling our entire Old Plant & Machinery of Unit II on “as is where is basis”. In this regard we would like to know the applicability of TCS & VAT Rate at which it should be disposed off. Besides we also want to know the tax implications in the following cases :
a) Sale is made to dealer within State to be used by him as Capital Goods : VAT Rate to be applied .
b) Sale is made to dealer within State to be used by him as Scrap Goods : VAT Rate to be applied .
c) Sale is made to dealer Outside State : CST Rate to be applied.
d) Excise Duty Applicability : We have separate Excise Registration Number for this Unit II.
The life of the Plant is more than 10 years in our opinion there would not be any Excise Duty Liability.
Kindly give your opinion in this regard.
CAclubindia
