Supreme Court Dismisses Petition Based on Precedent in Income Tax Case; Delay Condoned, Applications Disposed.TDS u/s 194H - non-deduction of taxes on payments made to distributors towards price protection and special price clearance discounts - relationship between the assessee and the distributor is that of Principal to Principal OR Principal to Agent - As decided by HC [ 2023 (8) TMI 456 - KARNATAKA HIGH COURT] inventory risk after acquiring the product is that of the distributor. Payment from the distributor to assessee has no link with the further sales made by the distributor. commission or broker... ... ... Issues Involved:
Dismissal of Special Leave Petition based on a previous identical matter.

Analysis:
The Supreme Court, comprising HON'BLE MR. JUSTICE PAMIDIGHANTAM SRI NARASIMHA and HON'BLE MR. JUSTICE PANKAJ MITHAL, heard the matter. The Court noted the delay and condoned it. The decision to dismiss the Special Leave Petition was based on a previous order dated 04.03.2024 in a case titled "The Commissioner of Income Tax (TDS) Bengaluru vs. M/s Acer India Pvt. Ltd." The dismissal was justified as the current matter was deemed to be covered by the ruling in the aforementioned case. Consequently, any pending applications were also disposed of in light of this decision. The judgment was clear and concise, citing the precedent set by the earlier case as the basis for the dismissal of the present Special Leave Petition. TDS u/s 194H - non-deduction of taxes on payments made to distributors towards price protection and special price clearance discounts - relationship between the assessee and the distributor is that of Principal to Principal OR Principal to Agent - As decided by HC [ 2023 (8) TMI 456 - KARNATAKA HIGH COURT] inventory risk after acquiring the product is that of the distributor. Payment from the distributor to assessee has no link with the further sales made by the distributor. commission or brokerage is described in explanation to Section 194H and CIT(A) that payment from the distributor to the assessee has no link with the further sale made by the distributor and same having been confirmed - HELD THAT:- In view of the dismissal of identical matter in M/s Acer India Pvt. Ltd [ 2024 (3) TMI 621 - SC ORDER] the instant Special Leave Petition is dismissed as being covered by the above-mentioned decision. THE COMMISSIONER OF INCOME TAX TDS & ANR. Versus M/s ACER INDIA PVT. LTD.
Income Tax
2024 (7) TMI 591 - SC Order - TMI
SUPREME COURT - SC
Dated:- 8-7-2024
SPECIAL LEAVE PETITION (CIVIL) DIARY NO(S). 20002/2024 - -
Income Tax
HON'BLE MR. JUSTICE PAMIDIGHANTAM SRI NARASIMHA And HON'BLE MR. JUSTICE PANKAJ MITHAL For the Petitioner : Mr. N Venkatraman, A.S.G. (NP) Mrs. Nisha Bagchi, Sr. Adv. Mr. Raj Bahadur Yadav, AOR Mr. Ishaan Sharma, Adv. Mr. Annirudh Sharma Ii, Adv. Mr. Shashank Shekhar, Adv. ORDER UPON hearing the counsel the Court made the following. Delay condoned. In view of the dismissal of identical matter i.e., SLP(C) No. 5649 of 2024 order dated 04.03.2024 titled as "The Commissioner of Income Tax (TDS) Bengaluru vs. M/s Acer India Pvt. Ltd., the instant Special Leave Petition is dismissed as being covered by the above-mentioned decision. Pending application(s), if any, shall also stand disposed of.
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