2024 (5) TMI 1128

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.... Incentive, announced by the Government of Maharashtra. Under such scheme, the Government had provided for premature re-payment of deferred sales tax at Net Present Value (NPV). In case, where the deferred sales tax liability is paid by way of premature payment as per NPV, then it would be deemed as if the full sales tax / VAT liability has been discharged and as a result the remaining amount towards such liability retained by the dealer/assessee would be considered as incentive. The incentive received by the appellant in the present case was interpreted by the Department that the same is on account of discount and should form part of the transaction value under Section 4(1) (a) read with Section 4(3) (d) of the Central Excise Act, 1944. On....

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.... Bang.) (vi) Commissioner of Central Excise Bangalore Vs. Mazagon Dock Ltd. -2005 (187) E.L.T. 3 (S.C.) 4. We find that an identical issue to the present case has been dealt with by the Tribunal in the case of Uttam Galva Steel Ltd. (supra). The relevant paragraph in said order is extracted herein below: "40. One of the contentions of the learned Commissioner (AR) was with reference to Explanation in Section 4(1) of the Central Excise Act. In the said Explanation, the words used are "actually paid" with reference to exclusion of sales tax and other taxes. A lot of emphasis was given by the learned Commissioner (AR) that since in the Explanation, the words used are "actually paid" and not "actually paid or actually payab....