whether turnover will be only margin money on which GST is paid for a trader of old used vehicles for
1. GST Registration and
2. GST AUDIT purposes
As per provisions of rule 32(5) of the CGST Rules, 2017, where a taxable supply is provided by a person dealing in buying and selling of second hand goods i.e., used goods as such or after such minor processing which does not change the nature of the goods and where no input tax credit has been availed on the purchase of such goods, the VALUE OF SUPPLY shall be the difference between the selling price and the purchase price and where the value of such supply is negative, it shall be ignored.
From above provision the value of supply is Margin Amount Hence in my view the turnover shall be the Margin Amount.
CAclubindia
