Illogical
Car is a fixed asset , it depreciates. If you sell a used car either you make profit or loss. Hence it should be subject LTCG/STCG tax only if you make profit.
How is selling a used car misconstrued as selling a service ? On leasing i can understand , on leasing GST is already applicable.
When VAT (value added tax) was replaced by GST , Goods tax was applicable in manufacturing value chain. How can end user be considered as a person adding value by using the goods. GST on used car sale is illogical. more
How is selling a used car misconstrued as selling a service ? On leasing i can understand , on leasing GST is already applicable.
When VAT (value added tax) was replaced by GST , Goods tax was applicable in manufacturing value chain. How can end user be considered as a person adding value by using the goods. GST on used car sale is illogical. more
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Govt looks like has lost all senses and only looking at how to kill the middle class of people and present FM and the dept with the present lot should be changed more
Jan 01
I think Govt is totally berserk on GST on used cars. Normally a person will sell his car say after 10 years. Suppose the buying price is say seven lakhs and selling price is say 2 Lakhs. Now the difference in buying and selling price is 5 Lakhs. As per Govt GST charged will be 90000. It means seller is practically not getting any thing. This is ridiculous. more
Jan 01
There are lot of illogical such taxes on items are there in gst which the council and FM team also do not understand whereas straight forward case like the insurance gst has been kept in abeyance since these people do not know how to go about it more
Dec 26
Non-Value Adding Transactions: As you rightly pointed out, consumers are not adding value to the car when they purchase it. This creates a perception that applying GST to the sale of used cars is akin to taxing the transfer of ownership, which does not inherently create value in the same way that manufacturing or providing a service does. Impact on Consumers: The GST on used cars by dealers can push up the price of used cars, which already tend to be more affordable than new ones. This could potentially make cars less affordable for middle-class consumers who rely on the used car market. Double Taxation Concerns: Some argue that the application of GST on used goods may lead to double taxation, especially if the GST is levied on the dealer's margin (which is based on an already-taxed asset). This concern is often raised when the car was originally sold with GST included, and now GST is being charged again on its resale. more
Dec 25
This govt is taking most illogical decisions in case of auto sector and same is proving counter productive again and again, one of the example of banning 10 and 15 year old cars in Delhi NCR in the name of pollution but there is no impact on pollution and at the same time they are charging full road tax and GST on these vehicles. This govt is crushing middle class despite the fact that this class is biggest loyalist to them. more
Dec 25
This is not only illogical government rather it is arrogant,manipulsative,insensitive govt.And not only in auto sector but in every dimension of governance and regulatios it is taking non-sense decision. more
Dec 25
