SALE OF USED MACHINERY

[SUNDARA MOORTHI]

MACHINERY PURCHASED DURING VAT REGIME IN 2012. VAT INPUT TAX NOT AVAILED.

DEPRECIATION CLAIMED UNDER INCOME TAX AS PER IT RULES.

THE USED MACHINERY IS BEING SOLD OUTSIDE THE STATE. (INTERSTATE)

THE ISSUE IS WHAT IS THE RATE OF GST AND ON WHAT VALUE.?

NEED A DETAILED REPLY ASAP.

AI Summary

GST on used machinery payable on transaction value; depreciated value may determine assessable value where no input tax credit
Sale of used machinery sold interstate is taxable under GST on the transaction's assessable value; depreciated or written down value may be used to determine that transaction value, but the applicable GST rate depends on the machinery's HSN/tariff classification rather than its used status. Absence of input tax credit on the original purchase affects credit availability and related adjustments, and the supplier must remit GST on the transaction value accordingly.