Sale of used vehicle by a registered dealer not dealing in vehicle either as dealer or hirer

[Silu Jose]

Please clarify the following:

A registered dealer sold a used vehicle. Vehicle was purchased in the VAT regime. Sold the vehicle prior to January 2018. Input credit not claimed by dealer while vehicle purchased. What is the GST implication on sale of the used vehicle. What will be the (taxable) value for GST and the GST rate.Is the Notification No.8/2018-Central tax applicable here?

The dealer is a service provider and does not deal with vehicles, (hire/sale). The vehicle was used for business purpose and depreciation claimed.

AI Summary

Service Provider Queries GST on Selling Used Vehicle; Notification No. 8/2018 Not Retroactive, Check 2017 Guidance A registered dealer, primarily a service provider, sold a used vehicle purchased during the VAT regime without claiming input credit. The dealer inquired about the GST implications, taxable value, and applicable GST rate for this sale, questioning the applicability of Notification No. 8/2018-Central Tax. An expert clarified that the notification is not applicable retrospectively and suggested referring to earlier replies from 2017 for guidance. The dealer was advised to review previous discussions in the forum, specifically Issue ID No. 113103 from November 2017, for further information.