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TMI Blog2003 (3) TMI 103X X X X Extracts X X X X X X X X Extracts X X X X ..... erwise, the differential discount cannot be accepted for the purpose of sub-clause (ii) as a permissible deduction. [See : Seshasayee Paper and Boards Limited v. Collector of Central Excise [1990 (2) TMI 52 - SUPREME COURT OF INDIA]. For the aforementioned reason, the differential discount has rightly been disallowed as deduction by the Tribunal in computing the excisable value of the tractors sold by the assessees to the sub-stockists. The appeals fail X X X X Extracts X X X X X X X X Extracts X X X X ..... Appellate Tribunal (for short, 'the Tribunal'). By the orders impugned in these appeals, the Tribunal upheld the orders of the Collector (Appeals) declining to permit deduction of the differential discount and set aside the orders of the Collector (Appeals) permitting the deduction of the differential discount. Thus, the assessees are in appeal before this Court. 4.For levying excise duty, the valuation of goods is made in accordance with the principle contained in Section 4 of the Central Excise Act, 1944, which insofar as it is relevant for our purposes, reads as follows : "Section 4 - Valuation of excisable goods for purposes of charging of duty of excise. - (1) Where under this Act, the duty of excise is chargeable on any excisable go ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re ordinarily sold by the assessee to a buyer in the course of wholesale trade for delivery at the time and place of removal, is deemed as excisable value of goods, where the buyer is not a related person and the price is the sole consideration for sale. Admittedly, in this case neither the stockists nor the sub-stockists are treated as related persons. It is also the common ground that the price is the sole consideration for sale of the goods. Inasmuch as in the course of wholesale trade the assessees sold tractors to the stockists, at the time and place of removal allowing discount of 27.5 per cent on the cost shown in the price list, therefore, the normal price of tractor shall be the cost in the price list less discount (27.5 per cent) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is not and it cannot be treated as a discount given to the sub-stockists and it has never been the case of the assessees also. It cannot also be treated as discount given to the area stockists though it was passed on them because it does not relate to tractors sold to them but relates to the tractors sold to the sub-stockists. 8.The next submission of Mr. A.R. Madhav Rao that the sub-stockists were nominated at the behest of the stockists and, therefore, the differential discount shall be treated as discount to the stockists and the sale to the sub-stockists shall be treated as sale to the stockists, cannot be accepted as from the facts indicated above, it is evident that the stockists and the sub-stockists are two different categories o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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