Turnover discount in refund claims must be considered even if not shown in the invoice, when later turnover determines eligibility.

Turnover discount, if available to all buyers crossing the prescribed turnover threshold and actually granted to eligible buyers, cannot be ignored merely because it was not deducted in the invoice at the time of sale. Where the discount's quantification depends on subsequent turnover and is not ascertainable at invoicing, refusal to recognise it for refund purposes is erroneous. The refund claim had to be examined under the statutory refund framework, and the rejection relatable to turnover discount was set aside with remand for fresh consideration under Section 11B(2) of the Central Excise Act, 1944.

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Issues: Whether turnover discount, though not deducted in the invoice at the time of sale, was liable to be considered while examining the refund claim, and whether the matter required reconsideration under Section 11B(2) of the Central Excise Act, 1944.

Analysis: The discount was available to all buyers crossing the prescribed turnover threshold during the relevant period and was actually granted to eligible buyers. Since its quantification depended on subsequent turnover and could not be known at the time of invoicing, the refusal to recognise the discount for refund purposes was held to be erroneous. The claim was required to be examined in the light of the statutory provisions governing refund.

Conclusion: The rejection of the refund claim relatable to turnover discount was set aside and the matter was remanded for fresh consideration under Section 11B(2) of the Central Excise Act, 1944.

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