GST on sale of Motorcar

[NISHANT SHAH]

Dear All,

My Partnership firm had purchased Motorcar in Pre-GST regime and had been used exclusively for the purpose of Business& Profession. We claimed depreciation till date and while computing its current value, loss is occured. Now, our firm want to sell this motorcar, what implication arised from GST point of view.?

Now, following question arise

1) whether we need to pay GST on sale of Motorcar?

2) if so on which amount do we need to pay GST ??

3) & if no then please provide me supported reference for non-applicability of GST & vice-versa.

Thanks to all experts in advance.

AI Summary

GST Not Applicable on Sale of Motorcar with Negative Margin, Says Expert Citing Notification No. 8/2018-C.T. (Rate) A partnership firm inquired about the GST implications on selling a motorcar purchased before the GST regime and used exclusively for business purposes. They experienced a loss when calculating its current value. The main questions were whether GST applies to the sale and, if so, on what amount. An expert responded that if the margin is negative, no GST liability arises, referencing Notification No. 8/2018-C.T. (Rate). Another participant supported this with additional references from a GST Law publication. The original inquirer requested further elaboration on the reference due to lack of access.