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2014 (4) TMI 590 - HC - VAT and Sales TaxValuation - deduction of quantity discounts allowed in the tax invoices – Taxable turnover - Eligibility for Tax Deduction – Held that:- From bare perusal of the invoice it is clear that the discount shown in the invoice is not relatable to the sale of goods by the said invoice, and that being so, the assessee cannot claim deduction under rule 3 of the Rules - Quarterly discount in the form of quantity discount/scheme discount was allowed in the tax invoices on the basis of performance of the previous quarter and not in respect of the sales reflected in the said invoices. Relying upon M/s. Southern Motors –vs- State of Karnataka and another [2008 (7) TMI 862 - KARNATAKA HIGH COURT ] - The proviso to clause (c) of Rule 3(2) of the KVAT Rules makes it mandatory that the said discount should be reflected in the sale invoice and that too it should be in respect of the sale of goods reflected in the said sale invoice, otherwise the dealer – assessee is not entitled for deduction of the amount of discount from the total turnover - The discount shown in the relevant invoices was not relating to the sales reflected in the said invoices, but for the sales effected earlier - No reason is found to interfere with the order passed by the Revisional Authority - Therefore, the appeals are dismissed - Consequently, the interim application stands disposed of – Decided against Assessee.
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