Central excise-whether quantity discount given to related pe

739 views 1 replies

Please help.

Problem is that 'A' co. is procurring r.m. selling and also allowing to use their brand name for which they are receiving royalty to 'B' . 'B' company manufactures finished goods with packing & brand name of 'A' and selling 90% to 'C' company after deducting 50% quantity discount. 'C' company is related company of 'A'. in this situation whether quantity discount claimed by 'B' is admissible for the purpose of calculation of central excise duty?

thanks, in advance.

Replies (1)

all three companies A B and C would be clubbed under central excise for dealing as related parties, and the duty would be applicable to the average value on which the goods are sold to 1st unrelated party by C, the discount may be allowed under the terms of MRP based valuation , but not at will of the B or A


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 14 March 2026
Article Trainee

N N V Satish&co

Hyderabad

CA Inter

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 12 March 2026
Customer Relationship Executive

TAXLET

Calicut

B.Com

View Details