2016 (7) TMI 470

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..... substantiate the challenge made to specific averments made by the Commissioner (Appeals). - Decided against the revenue. - E/3607/2006-EX(DB) - Final Order No. 60094/2016 - Dated:- 19-5-2016 - Mr. Ashok Jindal, Member (Judicial) and Mr. Raju, Member (Technical) Shri Harvinder Singh, AR for the appellant Ms. Swati Gupta, Advocate-for the respondent ORDER The respondents M/s. Goetze (India) Ltd. are manufacturers of engines parts. The respondents were providing certain discounts to their buyers on the basis of turnover since the quantum of turnover could only be ascertained at the end of the year, the respondent resorted to provisional assessment. The said provisional assessment was finalized by the assistant Commissi .....

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..... refore, I hold that the appellants are entitled for abatement of turnover discount in the instant case. 2. Learned AR relied on the grounds of appeal. Learned AR argued the respondents could not claim deductions at the factory gate itself as the discounts were passed at the end of the year. He further argued that the respondents failed to produce the evidence that the discounts actually been passed on to the buyers. It was argued that in the instant case, the quantum of discount was known to the dealers at the time of removal of goods. 3. Learned Counsel for the respondents argued that the case is covered by the earlier decision of the Tribunal in their own case as reported in 2011 (263) 477 (Tri.-Del) 4. We have considered the .....

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..... d to the buyers .. 5. In view of above, the admissibility of turnover discounts cannot be challenged in any manner. So far as the issue of passing of discounts to the buyers is concerned we find that the Commissioner (Appeals) has given specific finding which reads as under : I also found that the appellant actually passed on the benefit of turnover discount to the eligible stockiests and sub-stockiests by raising credit notes. Thus, in the instant case, the assessable value for clearance to depots is to be the net amount realized by the appellant (amount initially realized by the appellant less turnover discount offered by the appellant) from the stockiests and sub stockiests. My above views are fully supported by CBEC circu .....

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