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TMI Blog2017 (5) TMI 460X X X X Extracts X X X X X X X X Extracts X X X X ..... ecided in the case of Commissioner of Central Excise, Chandigarh vs. Goezte (India) Ltd. [2010 (7) TMI 363 - CESTAT, NEW DELHI] wherein it has been held that deduction of trade discounts for determining the assessable value is permissible only to the extent of the said discounts actually passed on to the buyers - matter remanded for verification. Whether adjustment of refund with the demands at the time of finalization of provisional assessment is permissible? - Held that: - The issue has been considered at length in the decision of Hon’ble Karnataka High Court in the case of Toyota Kirloskar Auto Parts Pvt. Ltd. vs. CCE, LTU, Bangalore [2011 (10) TMI 201 - KARNATAKA HIGH COURT], where it was held that there is no indication that when an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t of only 16%. In the impugned order, the Commissioner (A) has held that the trade discounts of 18.5% will be allowable to all the clearances to stockists as well as sub-stockists. Revenue contests this finding in the appeals filed by them. 2.2 The second issue agitated is in the appeals filed by the assessee and is regarding the entitlement of abatements from assessable value for turnover discounts. The assessee has claimed the turnover discounts as abatement from the assessable value on an average basis. In the impugned orders, it has been held that turnover discount is allowable as abatement on actual basis. 2.3 The third issue which is raised by Revenue is with regard to the provisional assessment, the learned Commissioner (A) in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the factory gate, when there are no factory sales, Section 4(1)(a) is ruled out. Therefore, we have to take recourse to Section 4(1)(b). Once Section 4(1)(b) is invoked, we have necessarily to go the Valuation Rules. In this case, the sales are from the depots. Hence relevant Valuation Rule is Rule 7, which reads as follows: Rule 7: Where the excisable goods are not sold by the assessee at the time and place of removal but are transferred to a depot, premises of a consignment agent or any other place or premises (hereinafter referred to as such other place ) from where the excisable goods are to be sold after their clearance from the place of removal and where the assessee and the buyer of the said goods are not related and the p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rder, we find that the same has been given in the light of the provisions of Section 4 and the Central Excise Valuation Rules and we see no reason to interfere with the above findings. Consequently, the impugned order is upheld on this issue and the appeals filed by the Revenue are rejected. 5. Next, we consider the issue of turnover discounts on which the assessee is aggrieved. The issue stands decided in the case of Commissioner of Central Excise, Chandigarh vs. Goezte (India) Ltd. reported in 2011 (263) ELT 477 (Tri.-Del.) wherein it has been held that deduction of trade discounts for determining the assessable value is permissible only to the extent of the said discounts actually passed on to the buyers. We are of the view that for t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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