Sell of car as scrap or asset

company's book as asset

Respected Sir

What if asset is treated as damaged and of no use and sold as scrap?

GST implications.

yes same thing i want to know what if sold as scrap

As per my opinion, scrap means rejected/shredded, finished/semi-finished goods or raw material which are generated during the normal course of business. If you are car manufacturer of a car dealer then you can dispose your car as scrap. 

Since your main business activity is not to produce or trade vehicles, you can not sale the car as a scrap.

its your opinion but what accounting rule says can we sell it as scrap b coz one asset we have sold as impaired and shown depreciation & loss on impairement & asset is shown zero

Originally posted by : RAJA P M
	If it's booked as Asset then How To Sell it Scrap...??? Sell as Asset... Check out the GST rate under HSN 8703....

Agreed with Raja Sir.

If you sold as scrap , how you can reduced it from Gross value of asset? If you are going to sell car it means it is reduced from block of asset (as per IT) and from gross value( as per CA). If you treat sale of car as scrap how yu can reduced such value from assets value under both the act?

Not related to GST but still useful to get some info