I HV A QUERRY REGARDING APPLICABILITY OF TDS ON FREIGHT REMITTANCE TO A FOREIGN CARGO (IT INCLUDES BOTH AIR CARGO AS WELL AS SHIPPING CARGO) COMPANY IN US WITH RESPECT TO IMPORT OF GOODS.....
KINDLY HELP IN SOLVING IT.... ALSO I M MORE CONCERNED WITH AIR CARGO......
21 January 2011
Please refer CBDT Circular No.723 Dtd.19/05/1995. Payment of freight to foreign companies is exempted from deduction of TDS under section 172(1) of IT Act. Provisions of 194C & 195 of the IT Act has no application in respect of payments made to towards freights to foreigh companies.
22 January 2011
Thank you for the reply..... i hv gone through the provisions mentioned by u but i hv still doubts regarding section 195.... as i m not clear with its explanation, i want to know clearly whether it excludes freight payment completely or not..... also do u know about any section which deals with air companies with respect to same situation......
Querist :
Anonymous
Querist :
Anonymous
(Querist)
22 January 2011
AND JAVID TDS IS STILL APPLICABLE ON INDIAN COMPANIES.... PROVISIONS OF SECTION 194C DEALS WITH IT...... THERE IS NO CHANGE IN IT TILL NOOW......