TaxTMI 
TaxTMI 
2016 (7) TMI 39
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.... the Value Added Tax Tribunal dated 08.06.2015 by which, the Tribunal allowed the revision petition of the respondent-assessee. 3. Briefly stated the facts are that, the respondent is a registered dealer and is engaged in manufacture and sale of cement. For the assessment year 2007-08, the assessee had sold such goods to various customers. At the end of the year in the last quarter, the discount to be given to such customers on the sales was finalized. As a result of which, the assessee gave credit notes to such customers discounting the VAT already collected from them on the basis of the original price. Since this event took place during the financial year 2008-09, the assessee claimed credit of such discounted sale price and the conseque....
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...., the assessee had issued credit notes as a result of discount granted to the customers. The price of goods sold was finalized or revised or settled subsequently and, therefore, the credit notes were issued by the assessee during the financial year 2008-09. It was held that since the discount of each customer was crystallized only on 31.03.2008, the final price payable for the goods sold to the customers could be ascertained only after 01.04.2008. The credit notes were, therefore, prepared and accounted for in the books of the assessee in the first quarter of financial year 2008-09. It was observed that these are regular features followed by the assessee consistently for last many years. 5. In background of such virtually undisputed facts,....
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....seller has to provide within such period as may be prescribed, the purchaser with a credit note of the sales of goods involved in the transaction containing such particulars as may be prescribed. The act of the assessee providing such credit notes to the purchasers after discounting the sale price was, thus, in consonance with Section 61 of the VAT Act. Rule 43(1) of the VAT Rules provides the details for such credit and debit notes as mentioned in Section 61. 7. In terms of Sections 60 and 61 of the VAT Act thus, the assessee was entitled to issue credit notes once the amount of tax shown as charged in the tax invoice exceeded the actual tax charged in respect of the sale concerned. This is precisely what the assessee had done and claimed....