Question ID :
39272
Transaction value for Sale of capital assets under GST
As per CGST Rule 32(5), second hand goods sold by second hand goods dealer, transaction value (TV) shall be the margin portion (ie selling price and purchase price) on which GST to be charged.
As per Notf 8/2018 CTR dt 25.1.18, sale of used vehicle by any registered person, TV shall be the margin portion. (Situtation – Vehicle lying as fixed asset sold)
Other than the above Rule or notification, Is there any other rule or notification which says that TV shall be margin, for sale of any other used asset (say furniture or computer or printer lying as fixed asset).?
Posted by
Sivaraman A.R.
on
Jul 05, 2019
Filed Under
GST
in the case of vehicles on which no IPT was allowed, GST is to be paid on the difference between the book value and the sale value if it is positive and no tax if it is negative, in all other cases, the purchase cost less 5% for each quarter it is put to use or the transaction value whichever is higher is the value for payment of GST.
Posted by
CA. VENKITARAMAN K V on
Jul 06, 2019
Answer ID :
78993
In My Opinion read with above circular , Incase of Vehicle , Transaction value would be the difference of WdV and Consideration . Other than vehicle , If sale is made by person other than Second hand goods dealer , then the transaction value would be the the consideration irrespective of WDV Value .
Posted by
Nitin Kumar Gupta on
Jul 07, 2019