A Pvt Ltd Company is having a Car on its Fixed Assets. It had not taken any ITC of either excise duty or VAT or GST. If Such Car is sold, then whether GST is liable on such sale of Car???? Reply—As per notification no. 08/2018 (central tax rate) dated 25.01.2018, a registered person who has claimed depreciation under section 32 of the Income-Tax Act,1961 on said Old vehicle, the value that represents the margin of the supplier shall be the difference between the consideration received for supply of such goods and the depreciated value of such goods on the date of supply, and where the margin of such supply is negative, it shall be ignored. Provided that the supplier of such goods has not availed input tax credit as defined in clause (63) of section 2 of the Central Goods and Services Tax Act, 2017, CENVAT as defined in CENVAT Credit Rules, 2004 or the input tax credit of Value Added Tax or any other taxes paid, on such vehicles. Thus, GST will be applicable on difference between selling price and written down value. In response to above, Whether Company Act's WDV or Income Tax Act' WDV will be considered while calculating margin value???

Reply—Written down value as per Income Tax Act needs to be considered.