TREATMENT IN GST TO SALES OF COMMERCIAL VEHICLE WITH GST.

This discussion clarifies the Goods and Services Tax (GST) implications when selling a commercial vehicle. If you've previously claimed GST credit on the vehicle, GST may still be applicable upon sale. The rate is generally 18% applied to the margin, calculated as the sale price minus the Written Down Value (WDV) as per income tax rules. If there's no profit margin, no GST is charged. Notification No. 8/2018 provides further details on GST rates for second-hand motor vehicles.