2000 (4) TMI 108

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.... 40% was not entered. Spare parts package even though was classified as part of the machine under item 8438.9001, under Import Trade Control, for customs purposes it was classified under tariff heading 4016.99. Without giving credit to the 40% discount and without treating the spare parts as such, but falling under tariff heading 4016.99 the importer was called upon to pay duty of Rs. 3,44,666/- by order dated 8-11-96. Immediately thereupon the authorities were told of the mistake in not giving credit to 40% discount and in treating the spare parts as separate items under tariff heading 4016.99. By letter dated 8-10-96, that is, even prior to the date on which the assessment was made, the mistake was brought to the notice of the Assistant C....

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....hat spare parts were supplied along with machine. When Bill of Entry was filed on 25-9-92 actual discount of 40% mentioned in the Invoice was omitted to be mentioned. In the Bill of Entry spare parts were shown as tariff item 8438.9001 but wrongly classified under customs tariff heading 4016.99. These mistakes were immediately brought to the notice of the Assistant Commissioner of Customs by letter dated 8-10-96, long prior to the order of assessment. Exporter from Nederland sent a telefax message dated 15-10-96 stating that special discount of 40% is an export discount which includes VAT refund and that spare parts package consists of essential spare parts for the normal working of the oven. This message was also made available to the Cust....