Cross-model utilisation of discount inadmissible u/s. 4 of Central Excise Act: CESTAT Bangalore

Toyota Kirloskar Motor Private Limited Vs Commissioner of Central Tax (CESTAT Bangalore) CESTAT Bangalore held that cross-model utilisation of discount resulting into undervaluation are inadmissible under section 4 of the Central Excise Act, 1944. Facts- The appellants are engaged in the manufacture of Multi Utility Vehicle (MUV) / passenger cars and parts thereof falling under Chapter Sub-Heading 8703 23 10 and 8708 10 90 of the Central Excise Tariff Act, 1985. They manufacture various models of cars viz., Innova, Fortuner, Corolla, Etios Sedan, Etios Liva, Camry and Camry Hybrid. The effecti...