Tax exemption on intra state supplies of used motor vehicles limited to specified margin based rates, subject to credit exclusion. Exempts State tax on specified intra state supplies of old and used motor vehicles by capping tax to the amount calculated at specified rates on the supplier's margin: nine percent for certain petrol/LPG/CNG and diesel vehicles and SUVs, and six percent for other used vehicles. Vehicle specifications are determined under the Motor Vehicles Act. Margin is defined as consideration less depreciated value for depreciated assets or selling price less purchase price otherwise, with negative margins ignored. Exemption is inapplicable where input tax credit, CENVAT, VAT credit, or other tax credits have been availed.
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Provisions expressly mentioned in the judgment/order text.
Tax exemption on intra state supplies of used motor vehicles limited to specified margin based rates, subject to credit exclusion.
Exempts State tax on specified intra state supplies of old and used motor vehicles by capping tax to the amount calculated at specified rates on the supplier's margin: nine percent for certain petrol/LPG/CNG and diesel vehicles and SUVs, and six percent for other used vehicles. Vehicle specifications are determined under the Motor Vehicles Act. Margin is defined as consideration less depreciated value for depreciated assets or selling price less purchase price otherwise, with negative margins ignored. Exemption is inapplicable where input tax credit, CENVAT, VAT credit, or other tax credits have been availed.
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