Relief to Apple India, Warranty Claim allowable when it was as per Provision and Guidelines: Supreme Court dismisses SLP [Read Judgement]
The court was not satisfied with the explanation offered seeking condonation of delay in filing the special leave petition
Supreme Court – Apple India – Warranty Claim – SLP – TAXSCAN
Supreme Court – Apple India – Warranty Claim – SLP – TAXSCAN
The Supreme Court of India dismissed the special leave petition filed against Apple India Private Limited and viewed that the warranty claim was allowable when it was as per provision and guidelines. The SLP arose out of the impugned final judgment and order passed by the Karnataka High Court.
Apple India Private Limited, the assessee company is engaged in trading Apple products in India. It also provides post-sale support services, marketing and related support services for Apple products. Assessee filed returns for the A.Y.2 2013-14 and 2014-15 declaring total income of Rs.162,73,33,230/- and Rs.212,12,89,800/- respectively. The AO³ vide order dated December 29, 2016, disallowed the claim of warranty provisions and concluded that the assessee has not followed the guidelines laid down by the Supreme Court in M/s Rotork Controls India (P) Ltd Vs. CIT and that the method followed to create the provision was not scientific.
A two-judge bench of Justice Pamidighantam Sri Narasimha And Justice Prasanna Bhalachandra Varale observed that there is a delay of 225 days in filing the special leave petition.
The court was not satisfied with the explanation offered seeking condonation of delay in filing the special leave petition. Since identical matters have already been dismissed, the court dismissed the special leave petition both on the grounds of delay as well as on merits.
To Read the full text of the Order CLICK HERE
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