Sale of Used car - in a doctor's profession
Hi
A purchased a car for his professional use. After one year it is sold to B. B also a Doctor uses the car for two years, and then sell it to C a doctor. Now C wants to sell this used car. Please confirm the GST to be charged on each of these sales, and the input tax credit applicable on this.
Thanks more
A purchased a car for his professional use. After one year it is sold to B. B also a Doctor uses the car for two years, and then sell it to C a doctor. Now C wants to sell this used car. Please confirm the GST to be charged on each of these sales, and the input tax credit applicable on this.
Thanks more
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There are two sides to this question. 1) Consumer selling used products to registered/ unregistered dealers: You, as one consumer, may sell the used car to another consumer (read “unregistered person”) who is buying it for her personal purpose. In this case, GST does not apply because it is not in furtherance of business. 2) Unregistered businessmen selling used products to registered dealers: Futherance of Business. In this case, buying and selling of used products is your trade but you are unregistered due to a turnover less than Rs 20 lakh. Then the registered dealer has to pay tax on his purchases on reverse charge basis on the seller’s behalf. But he cannot take input tax credit on the same. The tax rate for new and used products are the same. Only the value on which the rate is applied differs. The general tax rate for cars is 28% with the a variable levy of cess ranging from 1% to 15%. more
Sep 23
GST if applicable will on book value ( which is much less than actual value after deduction of depriciation ) more
Sep 23
There is no GST on sale of used personal car i.e. a car registered in an individual's name. more
Sep 22
Since there are opposite opinions - one saying 28% GST & other saying GST not applicable, can someone quote specific clause in the Act? more
Sep 22
Dear Ashok GST is applicable for used car at the rate 28% in all transactions whether the owner is a doctor or others more
Sep 22
