Section 15 (3) – Discount adjustment in Value of Supply
3) The value of the supply shall not include any discount which is given––
a) before or at the time of the supply if such discount has been duly recorded in the invoice issued in respect of such supply; and
b)after the supply has been effected, if—
i. such discount is established in terms of an agreement entered into at or before the time of such supply and specifically linked to relevant invoices; and
ii. Input tax credit as is attributable to the discount on the basis of document issued by the supplier has been reversed by the recipient of the supply.
Explanation.—for the purposes of this Act,––
a)persons shall be deemed to be “related persons” if––
i.such persons are officers or directors of one another’s businesses;
ii.such persons are legally recognized partners in business;
iii.such persons are employer and employee;
iv.any person directly or indirectly owns, controls or holds twenty-five per cent or more of the outstanding voting stock or shares of both of them;
v.one of them directly or indirectly controls the other;
vi.both of them are directly or indirectly controlled by a third person;
vii.together they directly or indirectly control a third person; or
viii. they are members of the same family;
b)The term “person” also includes legal persons;
c) persons who are associated in the business of one another in that one is the sole agent or sole distributor or sole concessionaire, howsoever described, of the other, shall be dCAe Aetulm Kumeard Gupttao be related.