Minor Refurbishment of Used Cars Doesn’t Change Nature as Second-Hand Goods; GST Payable Only on Margin: AAR

HomeGSTMinor Refurbishment of Used Cars Doesn’t Change Nature as Second-Hand Goods; GST...

Minor Refurbishment of Used Cars Doesn’t Change Nature as Second-Hand Goods; GST Payable Only on Margin: AAR

GST Top Stories

Published on

16/03/2026

By Mariya Paliwala

Minor Refurbishment of Used Cars Doesn’t Change Nature as Second-Hand Goods; GST Payable Only on Margin: AAR

🚀 Stay Connected With JurisHour

WhatsApp X Telegram

The Authority for Advance Ruling Karnataka (AAR) has clarified that minor refurbishment carried out on used motor vehicles before resale does not alter their character as second-hand goods, thereby allowing dealers to pay Goods and Services Tax (GST) only on the margin earned from such transactions. The bench of Kalyanam Rajesh Rama Rao and Sivakumar…

Membership Required

You must be a member to access this content.

View Membership Levels

Already a member? Log in here

Mariya Paliwala https://www.jurishour.in/

Mariya is the Senior Editor at Juris Hour. She has 7+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started her career as a freelance tax reporter in the leading online legal news companies.

Tags
Minor Refurbishment

Minor Refurbishment of Used Cars Doesn’t Change Nature as Second-Hand Goods; GST Payable Only on Margin: AAR

Membership Required

Latest articles

Recorded Loan Transactions Can’t Be Treated as Unexplained Money: ITAT

GST ITC Can’t Be Denied if Return Was Filed Before Cut-Off Date U/s 16(5): Kerala High Court

Supreme Court to Hear GST Dispute on Assignment of Leasehold Rights in July 2026

Rooftop Solar Systems Not ‘Works Contracts’: Rajasthan GST Appellate Authority Quashes Rs. 3.05 Crore Demand [READ ORDER]

More like this

Recorded Loan Transactions Can’t Be Treated as Unexplained Money: ITAT

GST ITC Can’t Be Denied if Return Was Filed Before Cut-Off Date U/s 16(5): Kerala High Court

Supreme Court to Hear GST Dispute on Assignment of Leasehold Rights in July 2026

About us

Company

Categories