Case Law Analysis
|Custom, Excise & Service Tax Tribunal
Trade Discounts & Manufacturer Incentives Not Taxable as Business Auxiliary Service | CESTAT Kolkata Clarifies Trading Profit Distinction
CESTAT Kolkata rules that incentives and trade discounts received by car dealers from manufacturers constitute trading profits, not taxable services under Business Auxiliary Service. This removes a major compliance burden on auto dealers and invalidates extended limitation demands where no suppression of facts is proven, setting a critical precedent for dealer-tax disputes across India.