https://www.taxtmi.com/caselaws?id=435734 CESTAT New Delhi ruled that VAT subsidy received under a promotion policy should not be included in transaction value for central excise duty purposes. The court distinguished this case from Super Synotex India Ltd., noting that unlike Super Synotex where sales tax liability was reduced, here the appellant paid full VAT amount - partly through government subsidy challan and partly in cash. Since the subsidy did not reduce selling price or sales tax liability, and was essentially capital subsidy for investment incentive, it could not be treated as additional consideration affecting transaction value under Section 4 of the Excise Act. en-us Tue, 21 Mar 2023 00:00:00 +0530 Mon, 20 Jan 2025 16:18:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=435734 CESTAT New Delhi ruled that VAT subsidy received under a promotion policy should not be included in transaction value for central excise duty purposes. The court distinguished this case from Super Synotex India Ltd., noting that unlike Super Synotex where sales tax liability was reduced, here the appellant paid full VAT amount - partly through government subsidy challan and partly in cash. Since the subsidy did not reduce selling price or sales tax liability, and was essentially capital subsidy for investment incentive, it could not be treated as additional consideration affecting transaction value under Section 4 of the Excise Act. Case-Laws Central Excise Tue, 21 Mar 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=435734