TMI Blog2008 (12) TMI 764X X X X Extracts X X X X X X X X Extracts X X X X ..... l ? (2)Whether in the, facts and circumstances of the case, the trade incentive given to the dealers would partake the character of commission or brokerage so as to attract the provisions of s. 194H of the IT Act, 1961 ? (3)Whether in the facts and circumstances of the case, the Tribunal is right in stating that the price at which the dealers sell the goods will alone determine the real relationship existing between the appellant company and the dealers ? 2. The assessee is the manufacturer inter alia, of bicycles. It appoints dealers, for sale of the bicycles. Survey under s. 133A was conducted and an order was passed, wherein the AO had treated the trade incentive, being given by the assessee to its dealers, as coming withi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lling the goods at the same price at which they were billed or higher prices were charged. On the next day of hearing, the assessee produced one invoice, which was not sufficient for the Tribunal to determine the issue. The Tribunal, then referred to the judgment of Gujarat High Court in Ahmedabad Stamp Vendors Association (supra) which was relied on by the CIT(A) for allowing the appeal. The said para in that decision is extracted here : ...If a car dealer purchases cars from the manufacturer by paying price less discount, he would be the purchaser and not the agent of the company, but in the course of selling cars, he may enter into a contract of maintenance during the warranty period, with the customer (purchaser of the car) on behal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re was no necessity to interfere with nor did any substantial question of law and she also submitted that if, in fact, the assessee had given a discount, which had resulted in abatement in price, then the sales-tax records would reveal the said fact and it was always open to the assessee to produce documents, which they had relied on. 5. Learned counsel for the assessee, in response, submitted that he was never called upon to produce the said documents and at a belated stage, the Revenue wants to rake up issues which were never questioned earlier. 6. The CIT(A) had dealt with the rival contentions in detail and while coming to his conclusion, appears to have proceeded on the assumption that it was a discount and that it is evident fro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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