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Old 9th July 2017, 12:44   #571
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Default Re: GST effect on car prices?

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Originally Posted by SchumiFan View Post
Renault have announced GST prices for their cars. Duster's price is available in the below link.

RVS CVT under 10L in some states in South. Looking a great deal in Bangalore IMHO.

https://www.renault.co.in/vehicles/p...rices_new.html
Ah, yet another car that's costlier in the state it's manufactured in!! The Duster is made near Chennai, but costs more here than Bangalore
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Old 9th July 2017, 12:50   #572
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Default Re: GST effect on car prices?

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Originally Posted by mjumrani View Post
Volvo has dropped 9L on the inscription model of the XC90 and has quietly launched T8 Excellence 7 seater at 1.02Cr Ex showroom Bangalore. I am inclined towards it 😃.

Pre GST price of XC90 D5 Inscription was 94.90L and post GST it is 85.90L. Attaching post GST prices of XC90 only.

Attachment 1655374
Could you please attach the entire price list post GST of volvo cars. It would be useful for the members.
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Old 9th July 2017, 18:05   #573
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Default Re: GST effect on car prices?

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Could you please attach the entire price list post GST of volvo cars. It would be useful for the members.
I haven't got the full price list. This was sent to me via WhatsApp as I and specifically asked for XC90 , I am expecting them to visit my office tomorrow morning, will upload post that.
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Old 10th July 2017, 13:38   #574
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Exclamation Effect of GST on interstate transfer of vehicle

What will be the GST impact on transfer of ownership of car?

Also will the GST abolish the Octoroi tax during the transfer of ownership in case of inter state transfer of car.?
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Old 11th July 2017, 00:10   #575
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Default Re: GST effect on car prices?

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Ah, yet another car that's costlier in the state it's manufactured in!! The Duster is made near Chennai, but costs more here than Bangalore
Yes, but with the exorbitant KA road tax, the OTR price becomes much cheaper in TN
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Old 11th July 2017, 09:53   #576
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Default Re: GST effect on car prices?

I don't know if this is an answered question, the effect on used car sales.

In the past, if I sold a used personal car to anyone, dealer or direct, I did not have to pay VAT. I am pretty sure I also don't have to pay GST today, even leaving aside the Rs 20 lakhs limit since it would be a casual transaction. For less than Rs 20 lakhs for sure there is no need to pay it.

When the dealer sells the car, in the past did he have to pay VAT? Does he have to pay GST today?

If No/Yes are the answers, has buying a used car from a dealer now shot up directly in terms of cost? By how much? All of the GST would be the cost increase if that be the case because there would be little incoming paid GST on their purchases as an offset, and lawfully so where these would be purchases from individuals in many cases.

Last edited by Sawyer : 11th July 2017 at 09:56.
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Old 11th July 2017, 10:08   #577
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Default Re: GST effect on car prices?

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Originally Posted by Sawyer View Post
I am pretty sure I also don't have to pay GST today, even leaving aside the Rs 20 lakhs limit since it would be a casual transaction. For less than Rs 20 lakhs for sure there is no need to pay it.
I'll let the GST experts answer that part but the 1% TCS deduction has to be followed even for used cars > 10 lakhs.

http://www.team-bhp.com/forum/indian...-1-2016-a.html (1% TCS on vehicles above Rs. 10 lakh from June 1, 2016)
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Old 11th July 2017, 11:04   #578
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Even earlier the used car dealer would have had to pay VAT when he would sell his car. And now he would have to pay GST. So no change there. But the change is in rate of tax. For bigger cars, earlier he would still pay a VAT of say 12-13-14%. But now he would pay a GST if 28% plus cess of 15%.

So the resale price of larger cars will go down corresponding to the increase in taxes. And the used car market will move to cash where possible.

It does not matter whether the seller (person selling his car to a dealer) is subject to GST. If he is, the tax the dealer pays will be available to him as credit when he in turn sells the car. It only adds to procedural hassle of selling your old car rather than change the cost.

That's my reading.
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Old 11th July 2017, 11:12   #579
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Default Re: GST effect on car prices?

Quote:
Originally Posted by Sawyer View Post
I don't know if this is an answered question, the effect on used car sales.

In the past, if I sold a used personal car to anyone, dealer or direct, I did not have to pay VAT. I am pretty sure I also don't have to pay GST today, even leaving aside the Rs 20 lakhs limit since it would be a casual transaction. For less than Rs 20 lakhs for sure there is no need to pay it.

When the dealer sells the car, in the past did he have to pay VAT? Does he have to pay GST today?

If No/Yes are the answers, has buying a used car from a dealer now shot up directly in terms of cost? By how much? All of the GST would be the cost increase if that be the case because there would be little incoming paid GST on their purchases as an offset, and lawfully so where these would be purchases from individuals in many cases.
As per my understanding when you sell a used car below 20L, dealer will have to pay the tax on reverse charge basis as he is buying taxable goods from an unregistered seller. But if the value of the used car is above 20L then as per the letter of the law, the seller will have to register under GST. However he can opt for composition scheme and pay 1% on the value of transaction. Don't ask whether this is practical, I am just trying to interpret the law.
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Old 11th July 2017, 16:40   #580
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Default Re: GST effect on car prices?

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@LionX; I guess this will prove to be more bark than bite. Getting everyone compliant is fine, but jailing looks too much.
Yes, that's practically difficult. But i do believe it will be difficult for them to ignore a call from PM Office.
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Old 12th July 2017, 12:29   #581
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Default Re: GST effect on car prices?

Saw this new article mentioning about the discounts provided by car manufacturers post GST.

Source : Ougur

According to the article, Skoda and fiat are providing 1 lakh cash discounts on their superb and punto models respectively.
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Old 12th July 2017, 13:25   #582
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Default Re: GST effect on car prices?

Pardon me if I's mistaken, but I am yet to see any updates in the prices from VW. With the other entities in the VAG announcing price reductions, shouldn't VW have posted their updated prices too?
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Old 12th July 2017, 13:56   #583
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Default Re: GST effect on car prices?

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Originally Posted by TorqueyTechie View Post
Saw this new article mentioning about the discounts provided by car manufacturers post GST.

Source : Ougur

According to the article, Skoda and fiat are providing 1 lakh cash discounts on their superb and punto models respectively.
Doubt that the info in the article is accurate as the base Superb price is not adjusted for the new ex-showroom post GST. Maybe the same for other cars too ?
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Old 14th July 2017, 10:55   #584
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Default Re: GST effect on car prices?

The government has clarified yesterday that sale of Old Jewellery as well as cars won't attract GST. Below is the statement by Revenue department

Quote:
"even though the sale of old gold by an individual is for a consideration, it cannot be said to be in the course or furtherance of his business (as selling old gold jewellery is not the business of the said individual), and hence does not qualify to be a supply per se."

"Accordingly, the sale of old jewellery by an individual to a jeweller will not attract the provisions of Section 9(4) and jeweller will not be liable to pay tax under reverse charge mechanism (RCM) on such purchases," it said.

Revenue department officials said the same principal will apply on sale of old cars or two-wheelers and no GST will be payable even though the supply would be for a consideration.
Here's the link

http://www.business-standard.com/art...1301145_1.html
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Old 14th July 2017, 14:49   #585
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Default Re: GST effect on car prices?

I think, some state trying to play games apart, we now need:

1. Common road tax across India.

2. Smooth / seamless movement of vehicles across states.
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