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18 paź 2024 · If the seller is registered under GST, they must pay GST on the sale of a used car. If the seller is unregistered, GST is not generally applicable. Additionally, for second-hand car sales, the Margin Scheme allows GST to be paid only on the profit margin rather than the entire sale amount.
- Sale of Old/used Vehicles – Implications under GST Laws - Tax Guru
Understand the GST rates on used vehicles, categorized by...
- Sale of Old/used Vehicles – Implications under GST Laws - Tax Guru
12 sty 2022 · GST on used cars: Dealers of used cars pay GST on the difference between the selling and the buying price to eliminate the cascading effect of taxation. In case the margin is negative, then there is no need to pay GST.
20 lis 2023 · This article explains how GST applies to automobiles, including old and used cars, with varying tax rates depending on the type of vehicle. It also discusses the applicability of GST, tax rates, input tax credit claims, and valuation of supply on the sale of old cars, highlighting important considerations for dealers and buyers under GST ...
30 maj 2023 · Understand the GST rates on used vehicles, categorized by engine capacity and type. Unravel the complexities of GST implications on the sale of old/used vehicles. Delve into the valuation rules under CGST Rules, 2017, governing transactions involving second-hand goods.
21 maj 2024 · Before GST on used cars came into effect, used car dealers used to pay 5 percent VAT on any transaction. With the new taxation, as much as 28 percent tax started getting levied on used cars. GST Taxes You Pay On Cars in India
15 sie 2024 · The GST rate on used cars is set at 12% of the transaction value. However, this tax is applied only to the dealer’s margin, which is the profit earned on the sale. For example, if a car is purchased for Rs. 5 lakh and sold for Rs. 6 lakh, GST is calculated on the Rs. 1 lakh profit.
10 wrz 2024 · As of the latest updates, the applicable GST rates for used cars are: 1. **Small Cars and SUVs** (with an engine capacity of up to 1500 cc): A GST rate of 12% is applicable. 2. **Luxury Cars and SUVs** (with an engine capacity above 1500 cc): These vehicles attract a GST rate of 18%.
