Discount cannot be denied solely on the ground that same were not shown in sale invoices – SC

M/s. IFB Industries Ltd. Vs. State of Kerala (Supreme Court)

In this case a division bench of the Kerala High Court has held that unless the discount was shown in the invoice itself, it would not qualify for deduction and further that any discount that was given by means of credit note issued subsequent to the sale of the article was in reality an incentive and not trade discount eligible for exemption under rule 9(a) of the Rules.

On Appeal Supreme Court has observed and held as follows:-

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