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Issues involved:
Valuation of imported car, inclusion of freight and insurance in assessable value, depreciation calculation, allowance of special discount. Valuation of imported car: The appeal concerned the valuation of a Nissan Sunny car imported by the appellant. The Assistant Commissioner assessed the car's duty based on Parker's Car Price Guide, while the Commissioner (Appeals) accepted the declared price of the car. The appellant argued that the declared price included freight, insurance, and landing charges. The Tribunal observed that the cost of the car stereo should be added to the car's price, as it was a standard item. However, the appellant's claim that freight and insurance were already included in the declared price was not substantiated. The Tribunal upheld the decision to include these costs in the assessable value. The issue of special discount was also addressed, with the Tribunal emphasizing that the actual price paid by the buyer, after deducting any discount, should be considered the transaction value. Depreciation calculation: Regarding depreciation, the appellant claimed varying percentages for different quarters, contrary to the instructions provided. The Tribunal noted the initial mistake in calculating depreciation and clarified the correct percentages to be applied for each quarter. The appellant's request to calculate depreciation up to the date of filing the Bill of Entry was accepted, following the precedent set in a previous case. The Tribunal emphasized the importance of adhering to the prescribed depreciation rates and rejected the appellant's request to enhance the percentage without valid reasons. Allowance of special discount: The issue of the special discount of $175 was also discussed. The Revenue argued against allowing any special discount, citing previous decisions. The Tribunal highlighted the necessity of deducting discounts from the price paid by the buyer, as per the Customs Valuation Rules. The Tribunal emphasized that unless the Department could prove that a discount was not actually given, it should be deducted from the price to determine the transaction value. The Tribunal upheld the decision to disallow the special discount in this case. In conclusion, the Tribunal disposed of the appeal by addressing the valuation of the imported car, the calculation of depreciation, and the allowance of special discounts. The decision emphasized the importance of accurately determining the assessable value by including relevant costs and deducting discounts as per the Customs Valuation Rules. The judgment provided clarity on these issues and upheld the decisions made at the lower levels regarding the valuation and assessment of the imported car.
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