Pre-deposit waiver for valuation discount granted on prima facie deduction, with partial deposit ordered for packing charges.

At the stay stage, the Tribunal held that the additional trade discount could prima facie qualify for deduction under Section 4(4)(d) for valuation purposes, and the fact that only one buyer had availed the benefit did not defeat the claim at that stage; pre-deposit was therefore waived for that component. For the demand relating to secondary packing charges, the Tribunal declined full waiver and directed a partial deposit, requiring compliance to be reported.

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Issues: Whether the appellant was entitled, at the stay stage, to waiver of pre-deposit in respect of the demand relating to additional trade discount and packing charges.

Analysis: The Tribunal formed a prima facie view that the additional discount satisfied the requirements of Section 4(4)(d) and could be deducted for valuation purposes even if only one buyer had actually availed the benefit, so the objection based on classification of buyers was not accepted at this stage. As regards the component relating to secondary packing, the Tribunal did not grant full waiver and required a partial deposit.

Outcome: Pre-deposit was waived for the demand relating to additional trade discount, while the appellant was directed to deposit Rs. 10 lakh towards the remaining demand and compliance was to be reported.

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