Used cars gst rate: Learn about GST on the sale

Learn about GST on the sale of old and used vehicles, including electric vehicles (EVs). Understand the 18% GST rate , conditions for GST payment, margin calculation, and more In summary, for most transactions involving used vehicles sold by a registered dealer in India, a uniform 18% GST is levied only on the profit margin, and no input tax credit can be claimed on the purchase. Always consult with a tax professional for specific guidance tailored to your situation. Learn how GST is calculated on the profit margin of old and used vehicles sold by GST -registered dealers in India. Find out the impact of the new 18% GST rate on buyers and sellers, and the difference between private and business transactions. Notification 8/2018 outlines the GST rates for the sale of used cars . According to this notification, the GST rates on the sale of second-hand cars depend on the type of vehicle and its engine capacity.