Cash discount remains deductible from assessable value despite occasional extension to buyers outside the payment condition.

Cash discount offered for payment within the stipulated period remained admissible as a deduction from assessable value where the scheme was known to trade and available to buyers who satisfied the condition. Occasional extension of the same discount to buyers who did not meet the payment condition did not change the character of the discount or make it inadmissible. The practical effect is that a conditional cash discount may still be deducted when its core trade practice and eligibility basis are established.

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Issues: Whether cash discount offered to buyers making payment within the stipulated period was admissible as a deduction from assessable value, even though the same discount was in some cases extended to buyers who did not satisfy the condition.

Analysis: The scheme of cash discount was established as being known to the trade and available to all buyers who fulfilled the stipulated condition. The occasional extension of the same discount to buyers who did not satisfy the condition did not alter the character of the discount or make it inadmissible as a deduction.

Conclusion: Cash discount was admissible as a deduction from assessable value. The departmental challenge failed.

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