GST on old vehicle sale

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.