GST ON SALE OF OLD TWO WHEELER, Goods and Services Tax - GST

[KAMAL SETHI]

Please provide guidance on the Goods and Services Tax (GST) implications for the sale of an old two-wheeler(Bike) used in business, which is shown as a fixed asset.

1. The two-wheeler in question was second hand purchased from unregistered person in july 2018& depreciation was claimed .
2. No Gst was paid & claimed as input during the acquisition of the vehicle

Posts / Replies

[KALLESHAMURTHY MURTHY]

Dear Sir,

The captioned vehicle has been taken into account as a fixed asset. When it is resold, the transaction falls u/s 7(1) of the CGST Act. So the tax is required to be collected and discharged irrespective of whether ITC was availed or not.

[Shilpi Jain]

GST would be liable on sale assuming you are a registered person. This would be liable on the sale value at applicable rate.