Mukul (CA FINAL) (66 Points)
16 January 2014If an Individual, who does not have his own business, Sells his Personal Car, will it be chargeable to VAT, if Yes What will be the Procedure?
And What provisions will be applicable if the Individual has a Proprietorship Business, and he Sells his Personal Car and also the car belonging to the Proprietorship Business?
Mukul Jatwani
@ NEVER STOP LEARNING
SAGAR
(ARTICLED ASSISTANCE)
(236 Points)
Replied 16 January 2014
If a person is selling his personal car, then there will be no VAT implication, because there is no sales at all.
If he has business then he has to collect VAT @ 5% and deposit the same with governent and file the return
Mukul
(CA FINAL)
(66 Points)
Replied 17 January 2014
Hey Thanks,
But you sure that VAT on sale of Business Car will be 5%, because I have received mixed Replies of 5% as well as 12.5%. Can you Please confirm.
Shrinidhi Rao Karval
(Article Assistant)
(158 Points)
Replied 17 January 2014
In Karnataka VAT rate for sale of car is 5.5%. And if the person is not a proprietor or he doesnot have business,then there is no VAT applicable..
SAGAR
(ARTICLED ASSISTANCE)
(236 Points)
Replied 18 January 2014
Now in karnataka VAT rate is 5.5% so we have to charge 5.5% only, there is no question of charging 12.5% because 12.5% rate is applicable to cosmotics and other kind of goods not for machinary and vehilces
CAclubindia
