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2020 (4) TMI 469 - AT - Central ExciseValuation - allowability of deduction of discounts which are known at the time of clearance of goods from Depot but are quantified later - Finalization of provisional assessment of goods - rejection of request for provisional assessment - HELD THAT:- The issue is no more res-integra, in view of the decision of Hon’ble Apex Court in the case of UNION OF INDIA & OTHERS VERSUS BOMBAY TYRES INTERNATIONAL PVT. LTD. [1983 (11) TMI 70 - SUPREME COURT] where it was held that the deduction of trade discounts known and understood at the time of removal of goods is permissible even if the same are quantified later. Thus, though the availability of the discounts was known at the time of clearance of the goods, these were quantified later but are to be deducted from transaction value. Thus, at the time of clearance of goods, since there is no quantification of demand, provisional assessment needs to be resorted to. This is also in line with the Board’s Circular dated 30.06.2000 - the rejection of the request for provisional assessment was incorrect and unsustainable in law and the learned Commissioner (Appeals) has rightly set aside the order passed by the learned Assistant Commissioner, rejecting the request for provisional assessment. Appeal dismissed - decided against Revenue.
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