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sale of used tempo

01 May 2019

we had purchased a tempo under VAT for self use (cenvat,vat credit not taken). Now we want to sale,please let us know the calculation of GST on sale price if applicable.

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pritesh (CA Final student) (7101 Points)
Replied 01 May 2019

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%

So , calculate your Gst payable on sale of vehicle as per above said notification