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TMI Blog2019 (8) TMI 869X X X X Extracts X X X X X X X X Extracts X X X X ..... alongwith expression for delivery at the time or place of deliveries. Therefore, value of excisable goods even on the basis of transaction value is only to be taken i.e. at the time of clearance of goods from assesee s factory or depo. An expression actually paid or payable for the goods when sold means whatever is agreed to as price for the goods on the basis of value whether such price, has been paid in parts or has not been paid at all. Hence, cash discount which is not at or prior to clearance of goods being contained in agreement of sale between assessee and buyers must, therefore, be deducted from sale price in order to know the value of excisable goods at time. Hence, cash discount was deductible. - appeal allowed - decided in favor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Supreme Court judgment in the case of M/s. Purolators India Ltd (Supra) wherein the following order was passed. The brief facts of the case are that the appellant is a manufacturer of writing and printing paper and registered with Central Excise. During an audit by departmental officers, it was discovered that appellant has two channels of sale: A. Sale at factory gate B. Sale from depot. Appellant has a cash discount policy where cash discount is given at the rate of two percent, if the bill amount is paid within 10days and discount is 1% if payment is made within 20 days. While clearing the goods manufactured by them (in respect of factory sales and depot sales) the appellant pays the duty on a value based on fully discounted price. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was payable at the time of sale of the goods was discounted price. Therefore, only that discounted price shall be treated as transaction value in terms of section 4 (3)(d) of Central Excise Act, 1944. He further submits that on the very same issue bearing the same facts has been decided by the Hon ble Supreme Court and the larger bench of Tribunal and various benches of High Court are cited below: 1. Purolator India Ltd. 2015 (60) Taxmann.com 471(SC) 2. Arvind Mills Ltd. 2006 (204) E.L.T 570 (Tri.- L.B.) 3. TVS Motor Company Ltd. 2016 (344) ELT 246-Tri- Chennai 4. 4. Havells India Ltd 2017 (357) E.L.T. 407 (Tri- Del.) 5. 5. TVS Motor Co. Ltd. 2016 (331) E.L.T. 3 )S.C) 6. Jenson Nicholas (India) Ltd. Another 1984 (17) E.L.T. 4- Bombay 7. Goo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d for, or to make provision for, advertising or publicity, marketing and selling organization expenses, storage, outward handling, servicing, warranty, commission or any other matter; but does not include the amount of duty of excise, sales tax and other taxes, if any, actually paid or actually payable on such goods. From the definition of transaction value given hereinabove it is clear that the price only paid or payable for the goods sold shall be the transaction value. In the present case, there are two amounts which are paid or payable: 1) The discounted price 2) The discount amount that was taken is not made in the given time. Therefore in case of failure of payment on given time, the discount amount also become payable on the sale. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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