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GST ON SALE OF BUSINESS ASSETS

Ganesh k (Audit Assisstant ) (65 Points)

04 December 2018

A trust providing both exempt supply and taxable supply has sold fixed assets relating to exempt supply.Will GST be levied on such sale as per schedule II , para 4(a), of the Act?

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6 Replies

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 04 December 2018

Can you clarify "Sold Fixed Asset relating to Exempt supply"

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Ganesh k (Audit Assisstant ) (65 Points)
Replied 05 December 2018

The trust sold an asset which it had used for providing exempt supply..I.e the trust sold a school BUS AFTER its useful life at a profit

Ravi SADhiyan (Practice) (4510 Points)
Replied 05 December 2018

Gst Levy as per section 7 of CGST Act 2017 and Schedule II of CGST Act

Pankaj Rawat (GST Practitioner) (55052 Points)
Replied 05 December 2018

In Case of BUS (Vehicle)

As per Notification 8/2018 CT (r)

Vehicle of Vat Regime Sold in GST Regime :
GST is applicable on Profit Margin (Sale-Puchase )

Vehicle Purchased & Sold in GST Regime :
If ITC claim , then GST is on transaction Value
If ITC is not claim , then GST is on Profit Margin (Sale - Purchase)

GST Rate 12 % & 18% is applicable as per CC engine of vehicle mentioned in Notification.

More then 1500 CC , leanth exceeding 4000 MM, GST is 18%

Else ,.. 12%