2002 (2) TMI 486

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....leared by them to Industrial Consumers; that they were allowing discount to their customers out of the wholesale price charged from them; that the benefit of discount was given to the customers by way of raising credit notes in their favour subsequent to the sale; that as the discount is an admissible deduction from the wholesale price as per Section 4(4)(d)(ii) of the Central Excise Act they filed claim for refund with the Department along with photocopies of credit notes issued to their customers; that Dy. Commissioner under Adjudication Order No. 162/2000-C.E., dated 31-10-2000 rejected their refund claim on the ground that they had failed to satisfy the requirement of judgment in the case of Bombay Tyre International and M.R.F. Ltd. to ....

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.... contended that the 'No Claim discount' was known to their customers and as such the same is a permissible deduction from their price under Section 4 of Central Excise Act. 3. Countering the submissions Shri P.K. Jain, learned SDR, submitted that discount is a permissible deduction from the assessable value only if it is known to the buyers at or prior to the clearance of the goods; that both the lower authorities have given clear findings that no evidence in the form of price circular has been brought on record to prove that the customers were aware of the impugned discount on or prior to the clearance of the goods; that even the so called extract of minutes does not indicate that these were circulated to their customers; that all th....