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Hsn code for sale of used car in gst with profit

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Gautam Jain

32 Points Posted on 23 March 2022

HSN code of sale of use car capital asset in gst with with profit so gst payable on profit please mention the hsn code to be used for this to make the tax invoice of profit

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Quick Summary

When selling a used business car for a profit under GST, you may need to pay tax on the profit margin. If input tax credit wasn't previously claimed, specific notifications like 8/2018 CT Rate may apply, allowing GST to be paid on the difference between the sale value and the depreciated value. You can find the appropriate HSN code on the GSTN portal and should carefully review the relevant notification for full applicability.

prasad Nilugal

GST Practitioner & Accounts

8980 Points Posted on 23 March 2022

If used car was for Business purpose , and input tax credit has not availed earlier , then you have apply notification 8/ 2018 CT rate date 25/1/2018 , as per notification you have to pay GST on margin ( sale value - depreciated value of car on date of sale) , So please refer notification first , if you have sold used car .
HSN code you will find on GSTN portal
www.gst.gov.in / services / users services / Scarch HSN code .