Commissioner General of Inland Revenue vs. Rhino Roofing Products Ltd – sllr 2021 volume 1 page 515

In the case between the Commissioner General of Inland Revenue and Rhino Roofing Products Ltd, the court addressed the issue of whether post-sale quantity discounts can be deducted from the taxable value of supplies when calculating VAT under the Value Added Tax Act. It was held that post-sale discounts may be allowed as deductions from the taxable value, provided that the discount arrangements are known and available to all potential purchasers at the time of supply. The principle reaffirmed is that a supplier is liable to VAT only on the actual amount received, supporting the principle of neutrality. This decision relied on interpretations of Sections 5(1), 25, and 83 of the VAT Act, as well as persuasive authority from Oriflame and Elida Gibbs, emphasizing correct statutory interpretati