VAT = selling price ÷( 1+3%)×2%
Debit: Liquidation of Fixed Assets 0
Cumulative Discount-Book Balance
Loan: fixed assets-original value of automobile
Debit: liquidation of fixed assets
Credit: Taxes payable-VAT
Debit: non-operating income
Loan: Liquidation of Fixed Assets-Balance
Remember to consider income tax and non-operating income.