Are primary and secondary discounts subject to provisions of TDS Section 194H of the Income Tax Act?

Last updated: 08 January 2021

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Quick Summary

This case examines whether primary and secondary discounts, including those on set-top boxes and recharge vouchers, are subject to Tax Deducted at Source (TDS) under Section 194H of the Income Tax Act. The Income Tax Appellate Tribunal considered the disallowance of these discounts and related expenses by the Assessing Officer for non-deduction of TDS. The appeals also cover issues such as bonus credits to subscribers and sale promotion expenses.

Court :
ITAT Mumbai

Brief :
These cross appeals, by the assessee and by revenue, are arising out of the orders of Commissioner of Income Tax (Appeals)-13, Mumbai [in short CIT(A)], in appeal Nos. CIT(A)-13/Rg.7(3)/AP-269/11-12 and 127/12-13 dated 03.03.2014. The Assessments were framed by the Asst. Commissioner of Income Tax & Dy. Commissioner of Income Tax, Circle-7(3), Mumbai (in short ‘ACIT/DCIT/ AO) for the AY 2009-10 and 2010-11 vide different orders dated 31.12.2011 and 06.02.2013 under section 143(3) of the Income Tax Act, 1961 (hereinafter ‘the Act’).

Citation :
ITA No. 3214/Mum/2014

Daily Limit Reached