S3 deployment is failing in bitbucket pipelines

I'm trying to deploy a static website on s3 bucket through bitbucket pipelines but getting Access Denied error on PutObject operation.

The bucket doesn't have public access, it serves through CloudFront distributions.

VERIFIED CHECKS:

1. IAM user access
   • AmazonS3FullAccess
2. Repository variables
   • AWS_ACCESS_KEY_ID
   • AWS_SECRET_ACCESS_KEY
   • QA_BUCKET
3. Cloudfront distribution
   • Pointed to the correct bucket
   • Allowed HTTP Methods
     • GET, HEAD, OPTIONS, PUT, POST, PATCH, DELETE
   • bucket policy
4. Basic auth:
   • Through AWS Lambda

{
  "Version": "2008-10-17",
  "Id": "PolicyForCloudFrontPrivateContent",
  "Statement": [
    {
      "Sid": "PublicReadGetObject",
      "Effect": "Allow",
      "Principal": {
        "AWS": "arn:aws:iam::cloudfront:user/CloudFront Origin Access Identity <ID>"
      },
      "Action": [
        "s3:GetObject",
        "s3:PutObject",
        "s3:PutObjectAcl"
      ],
      "Resource": "arn:aws:s3:::qa.polarunicorn.com/*"
    }
  ]
}

bitbucket-pipelines.yml

image: node:10.15.3

pipelines:
  custom:
    qa:
      - step:
          name: QA - Install, test and build
          caches:
            - node
          script:
            - yarn
            - yarn test
            - yarn build:dev
          artifacts:
            - dist/**
      - step:
          name: QA - Deploy on S3
          deployment: test
          script:
            - pipe: atlassian/aws-s3-deploy:0.3.7
              variables:
                AWS_ACCESS_KEY_ID: $AWS_ACCESS_KEY_ID
                AWS_SECRET_ACCESS_KEY: $AWS_SECRET_ACCESS_KEY
                AWS_DEFAULT_REGION: '$AWS_REGION_NAME'
                S3_BUCKET: '$QA_BUCKET'
                ACL: 'public-read'
                LOCAL_PATH: 'dist'
                DELETE_FLAG: 'true'

Pipeline's build status:

I find and tried all the possible solutions but not able to catch the actual issue here because everything looks good, as expected... ☹️