Prompt payment cash discount held deductible when declared in advance and uniformly available to compliant buyers.

Cash discount offered as a prompt payment discount was held admissible where it was in advance, communicated to buyers through circulars, and made uniformly available to all purchasers who satisfied the condition of timely payment. The fact that some buyers failed to make prompt payment and therefore did not qualify for the concession did not by itself render the discount inadmissible. On that basis, the discount was treated as deductible and the appeal was not sustainable.

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Issues: Whether cash discount offered as a prompt payment discount, available only to buyers who made timely payment, was admissible as a deductible discount notwithstanding that it was not extended to buyers who failed to satisfy the condition.

Analysis: The discount was declared in advance and was known to buyers through circulars. It was available uniformly to all buyers who complied with the condition of prompt payment. The mere circumstance that some buyers did not make prompt payment and therefore did not qualify for the discount did not make the discount inadmissible.

Conclusion: The cash discount was admissible and deductible. The appeal was not sustainable.

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