TMI Blog2015 (10) TMI 2202X X X X Extracts X X X X X X X X Extracts X X X X ..... re to additional trade discount. To our mind, by changing the nomenclature, they are only trying to mislead the department and by change of the nomenclature, service charges cannot become additional trade discount. In view of this position, in our view, even after 1.9.1999, the said deduction has to be considered as deduction towards service charges. - Decided against assessee. - APPEAL Nos. E/3738 to 3740/05-Mum - Final Order Nos. A/2000-2002/2015-WZB(EB) - Dated:- 2-7-2015 - Hon ble Mr. P.K. Jain, Member (Technical) And Hon ble Mr. S.S. Garg, Member (Judicial),JJ. For the Appellant : Shri T.C. Nair, Advocate For the Respondent : Shri Sanjay Hasija, Superintendent (AR) ORDER Per: P.K. Jain Brief facts of the case a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erfect Circle Victor Ltd. reported in 1992 (60) ELT 676 (SC); (ii) Seshasayee Paper Boards reported in 1990 (47) ELT 202 (SC); (iii) Bajaj Auto Ltd. reported in 2014 (300) ELT 434 (T); (iv) Torque Pharmaceuticals reported in 2009 (248) ELT 604 (T). 3. The learned AR, on the other hand, submitted that for admissibility of the discount, first of all the appellant has to prove that it is a trade discount. If there is a deduction for some other reason, then that cannot be called as a trade discount. For example, if an amount is deducted for providing post clearance services to goods either in the dealer s premises or in the customer s premises, the same cannot be called as a trade discount but that is payment of service charges by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ods. (emphasis supplied) Thus, the Supreme Court has laid lot of stress on the fact that trade discount to be treated as such must stand the test of established practice of the Trade and commerce. We find ourselves unable to accept the contention of the learned counsel for the appellants that after-sales service charges could be treated as a discount, in the light of the guidelines set out by the Supreme Court. For all these reasons, we are unable to agree with the contentions put forth by the learned Counsel for the appellants. We also note that in the impugned order, the Commissioner (Appeals) has observed as under:- 7. The appellants have not produced any evidence to show that the service charges are in the nature of discoun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e a discount in Annexure - 2 C, it should have been appeared on the invoices in the same fashion as normally other discounts like trade discount, cash discount, etc are shown by the trade as a trade practice. 5. During the hearing, the case was adjourned 2-3 times to enable the learned counsel for the appellant to submit documentary evidence to indicate that service charges is a trade discount. To us, the service charges do not appear to be a trade discount for the simple reason that in the same invoice there is a discount with the name trade discount. The learned counsel for the appellant, in spite of 2-3 adjournments, has not been able to bring out any evidence whatsoever to support his contention that deduction due to service charg ..... X X X X Extracts X X X X X X X X Extracts X X X X
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