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Delhi VAT : Sale of used cars not subject to VAT
Case Law Details
- Case Name
- Anand Decors Vs Commissioner Of Trade And Taxes (Delhi High Court)
- Appeal Number
- Only available for paid members
- Date of Judgement/Order
- Only available for paid members
- Courts
- All High Courts, Delhi High Court
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CA Sumit Grover
Recently, Hon’ble Delhi High Court in the matter of Anand Decors & Ors. v. CTT, New Delhi, has pronounced that the cars, even though fall within capital goods, but sale of used cars is not subject to VAT under Delhi VAT Act, by virtue of section 6(3) of ibid.
Brief facts of the case:
The appellants were manufacturing certain commodities & were registered dealers under DVAT Act. They purchased motor vehicles(though non-dealing in the trading of motor vehicles) but didn’t avail ITC thereon under DVAT. The revenue authorities considered t...
sir we have a registered dealer in dvat, we sale a old used car and we have not input claim in the time of purchase. as per your guidance vat not applicable on sale of old car, but we confused we show sale amount in exempted sale or not consideration in turnover. kindly guide for dvat return file process.
What if a used car selling his used car purchase to local customer in the market. Whether VAT applicable on them??
Condition no. 1 not applicable on them.
Can any please guide.
Sir,
I had a car, whose value after three years of depreciation is 3.5 lakhs. I Completed the loan and sold it for 4.0 lakh. My auditor has included only 50000/- as income from sale of car. Am I not eligible for full value of car, i.e., 3.5lakhs? I paid the whole loan from my salary, hence i feel the sale should be considered as income.
Ravi
THANKS FOR VERY USEFUL INFORMATION.WHETHER THERE IS ANY PROCEDURE THROUGH WHICH DECISIONS OF DVAT TRIBUNAL OR ANY OTHER COURT DECISIONS REGARDING DVAT CAN BE KNOWN.
A GOODS TPT. AGENCY (HAVING ITS OWN FLEET) IF SALES TSOME OLD TRUCKS THEN IT SHOULD BE TAXED OR NOT ALTHOUGH THAT HAS NOT TAKING ANY VAT INPUT BENEFIT. PLEASE CLEAR THE SCENERIO.
If vat is not applicable. Is service tax is applicable on sale of used cars.
Dear Sir,
In this scenerio, whether a car given to employee for his personal use , when subsequently sold will be liable for DVAT ?
Please reply? Presently we are paying DVAT, but whether this judgement will affect the scenerio ?
Rgds