B M Autolink Vs C.C.E.-Kutch (Gandhidham) (CESTAT Ahmedabad)
We find that the fact is not under dispute that the appellant being a dealer purchase the vehicles from M/s. Maruti Suzuki India Ltd. and subsequently sell the same to various customers. The transaction between M/s. Maruti Suzuki India Ltd. and the dealer and subsequently sale transaction between the dealer and the customs are purely on principal to principal basis. The vehicle manufacturer M/s. Maruti Suzuki India Ltd. on the basis of yearly performance of sale grants the discount to the dealer, this discount is nothing but a discount in the sale value of the vehicle sold throughout the year therefore, these sales discount in the course of transaction of sale and purchase of the vehicles hence, the same cannot be considered as service for levy of service tax. This issue is no longer res-integra as the same has been decided in various judgments cited by the appellant.
FULL TEXT OF THE CESTAT AHMEDABAD ORDER
The issue involved in the present case is that whether the discount given by M/s. Maruti Suzuki India Ltd. to the appellant in connection with sale of vehicles which was further sold by the appellant on principal to principal basis has to be considered as service charges towards Business Auxiliary Service and the same is liable for service tax or otherwise.
02. Shri Vikas Mehta, learned Consultant appearing on behalf of the appellant at the outset submits that this issue is no longer under dispute as this tribunal in various judgments decided the same issue in favour of the assessee. Reliance is placed on the following judgments:-
