Hi,
I have a couple of questions regarding the disposal of motor vehicle.
Let's say I have bought a car $80,000 for 100% business use in 2023 financial year and claimed GST of one-eleventh of car limit, which is $ 64,741.
In April 2024, I disposed this car and its market value was $70,000. How much GST do i need to pay in June quater 2024 at the end?
Thank you!
If you are registered for GST and you trade in a vehicle used solely or partly for business, you must account for GST because this is a taxable sale.
If you are registered for GST and you trade in a vehicle used solely or partly for business, you must account for GST because this is a taxable sale.
Do i need to pay one-eleventh of car limit $68,108 ? or sales of my car ?
Car limited GST credit only apply to the purchasing of the MV. As for disposing of the vehicle, you'll generally be liable for GST equal to 1/11th of the sale price.
15 Apr 2026 · 4 min read time
22 Apr 2024 · 6 min read time
15 Apr 2026 · 4 min read time
795 views
3 replies