https://www.taxtmi.com/caselaws?id=380273 The Tribunal treated the prepaid distributor margin as commission because the arrangement was characterised as a principal-agent relationship, not a principal-to-principal sale. Applying the jurisdictional High Court's ruling on the same distribution model, it held that the discount or margin allowed to distributors fell within section 194H and remained subject to tax deduction at source even without an actual cash outflow. On that basis, the assessee was held liable under sections 201(1) and 201(1A) for failure to deduct tax. en-us Wed, 15 May 2019 00:00:00 +0530 Thu, 16 May 2019 16:01:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=380273 The Tribunal treated the prepaid distributor margin as commission because the arrangement was characterised as a principal-agent relationship, not a principal-to-principal sale. Applying the jurisdictional High Court's ruling on the same distribution model, it held that the discount or margin allowed to distributors fell within section 194H and remained subject to tax deduction at source even without an actual cash outflow. On that basis, the assessee was held liable under sections 201(1) and 201(1A) for failure to deduct tax. Case-Laws Income Tax Wed, 15 May 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=380273