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TMI Blog2016 (11) TMI 980X X X X Extracts X X X X X X X X Extracts X X X X ..... t notes. The applicant, while filing its returns for the period under consideration, while computing its taxable turnover, claimed deduction of discount / rebate allowed by it to its customers - whether deduction claim of trade discount justified? Held that: - no useful purpose would be served by calling upon the Tribunal to state the case and make a reference. Thus, to avoid unnecessary wastage of time, we think it appropriate to decide the matter. Since the facts are admitted and the law has been settled by their Lordship of the Supreme Court, we think that the question as raised by the assessee has to be answered in its favour. Resultantly, we do so. It is held that the Tribunal was not justified in rejecting the claim of the applica ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... MP Commercial Tax Act, 1994. as also under the provisions of the Central Sales Tax Act, 1956 for the period from 01/04/2001 to 31/03/2002. 3. The applicant being authorised dealer of reputed motor vehicle manufacturers allows discount at the time of sale of vehicles to its customers as per the policy of the company, however, since the invoices are to be raised for full value of the vehicles, discount is allowed by issue of credit notes to the respective customers. Such discount being as per the company policy has the effect of reducing the sell price of the vehicle. The discount is described as rebate in the credit notes issued to the customers. The customer, thus, pays the net amount after reducing the rebate allowed to him by way of cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nature of trade discount. 7. The applicant, thereafter, filed an application under Section 70(1) of M.P. Commercial Tax Act, 1994 before MPCTAB for statement of case to High Court of M.P., Indore Bench. This application has been rejected by order dated 28/07/2016 on the ground that no case for review is made out. 8. Learned counsel for the applicant has drawn our attention to the decision of High Court of M.P., Indore Bench in the case of Titan Industries Ltd. Indore(supra) and submitted that in the light of law laid down by the Apex Court in the judgment of IFB Industries Ltd. v. State of Kerala(2012) 20 STJ 485 (SC), the claim for deduction of the amounts of Trade discount could not be disallowed solely on the ground that discount w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of M.P., passed in W.P. No.14547 of 2010 on 5.08.2014. 27. On the basis of discussion made herein-above an in the light of the law laid down by the Apex Court in the judgment of IFB Industries Ltd. (2012) 20 STJ 485(SC); (2012) 49 VST 1 (SC), that the claim for deduction of the trade discount and performance incentive discount could not be disallowed solely on the ground that the discount amount were not shown in the sale invoices. The Apex Court has explained the judgment of Deputy Commissioner of Sales Tax v. Advani Oerlikon Pvt. Ltd. (2005) 7 STJ 768 (SC); 1980 45 STC 32 in para 30 of the case of IFB Industries Ltd. (supra). Thus we are of the view that the learned authorities have erred in law in rejecting the claim of the petitioner ..... X X X X Extracts X X X X X X X X Extracts X X X X
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