TMI Blog2016 (12) TMI 960X X X X Extracts X X X X X X X X Extracts X X X X ..... with the illustration. - There is no evidence to show that the end customer was given the benefit of trade discount, is not at all a matter, which the petitioner is concerned. As far as the petitioner is concerned, he had effected sale of goods by providing the quantity discount and the turnover is only with respect to the consideration received by the petitioner for the quantity which is actually sold and the discount given to the dealer in question. Under such circumstances, I am of the view that this writ petition is to be allowed - The assessing authority is directed to reconsider the matter afresh in accordance with the observations made above and Circular No.5/05 of the Commissioner of Commercial Taxes - appeal by way of remand. - W ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l Tax had indicated at paragraph 5 as under: 5. Section 7 provides that if a dealer allows any trade discount in terms of quantity in goods in relation to any sale effected by him, the quantity so allowed as trade discount shall be deemed to be a sale by the dealer who allow such discount or incentive and a purchase by the dealer who receives such trade discount or incentive and that such sale shall form part of the sale in relation to which such trade discount or incentive is allowed. Illustration: Dealer A sells 100 television sets to another dealer B for ₹ 15 lakhs and allows a trade discount of five television sets without charging any amount additionally. The five television sets given as trade discount will also be de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r this Court should interfere with the impugned orders especially in the light of Ext.P6 appeal. Section 7 of the KVAT Act is relevant which reads as under: 7. Trade discount etc. deemed to be sale in certain cases .- Notwithstanding anything contained in any other provisions of this Act, where a dealer allows any trade discount or incentive in terms of quantity in goods in relation to any sale effected by him, the quantity so allowed as trade discount or incentive, shall be deemed to be a sale by the dealer, who allows such trade discount or incentive and a purchase by the dealer who receives such trade discount or incentive and such sale shall form part of the sale in relation to which such trade discount or incentive is allowed. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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