Rakesh Kumar Keshri, Garhwa vs Ito Wd -3(5), Daltonganj on 15 March, 2019
In view of the above facts and considering the findings in the
case of M/s. BPL Mobile Cellular Limited (WP No. 29202 of
2005), and also in view of finding of Delhi High Court, the
essence of the contract between company and distributors is
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ITA No.200/RAN/2017
[Assessment Year: 2013-14]
that of service and margin between MRP and sale price is
nothing but commission. This view has also been upheld by the
Hon'ble ITAT, Cochin in ITA No. 106 to 113/Coch/2007 in the
case of Vodafone Essar Cellular Limited vs. ACIT, Cochin (in the
case of deductor itself). The Hon'ble ITAT has taken into
consideration all relevant facts and the decision cited by the
company and held that there is no relationship of principal to
principal and difference of price -is nothing but commission.