Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (2) TMI 67 - AT - Central ExciseRefund - valuation - quantity discount given after clearance of goods from factory to their depot - Rule 7 - appellant argues that assessable value in such circumstances should be the assessable value arrived at when goods were sold from the depot to the independent customer i.e. the price after allowing the quantity discount. Held that:- The price at which the goods are cleared from the factory to the depot does not become the assessable value for the purpose of assessment. The Revenue's reliance on the decision of MRF Ltd. (1997 (3) TMI 104 - SUPREME COURT OF INDIA) is not correct in so far as in that case the goods were cleared from the factory premises and not from the depot and, therefore, the facts are substantially different. If in this case during the period of dispute there were quantity discount schemes and the quantity discounts in the form of free quantity were given at the time of sale from depot, the same would have to be allowed, even if Central Excise invoices issued at the time of clearance of the goods from the factory do not mention the quantity discount, as the same can be mentioned only when the goods are sold from the depot. Appeal is allowed with consequential benefit subject to necessary safeguards. - Decided in favor of assessee.
|