Company structure
This query is : Resolved
29 March 2012
Dear friends...
One of my is working for a startup in US. its a proprietorship concern there. Some of the hardware part of it is made in India, He is acting as a free lancer - on principal to principal basis. He is also looking after some of the products which are manufactured in India. Though he is not connected in any other sense, but due to some reasons he is getting some money in his account to pay custom charges.
I feel that, its a line of connection between the two.
Can anyone please suggest me, whether my thinking is right, and if yes, how to overcome that connection.
Also the foreign entity wants to start a company in India but after an year. In the mean time what should be the relationship between the two.
awaiting your responses........
One of my is working for a startup in US. its a proprietorship concern there. Some of the hardware part of it is made in India, He is acting as a free lancer - on principal to principal basis. He is also looking after some of the products which are manufactured in India. Though he is not connected in any other sense, but due to some reasons he is getting some money in his account to pay custom charges.
I feel that, its a line of connection between the two.
Can anyone please suggest me, whether my thinking is right, and if yes, how to overcome that connection.
Also the foreign entity wants to start a company in India but after an year. In the mean time what should be the relationship between the two.
awaiting your responses........
29 March 2012
IN THE ABSENSE OF FULL DETAILS I CAN ONLY ASK U TO GO TH EXPLANATIONS 2 AND 3 TO SECTION 9(1)(I) IF THE ARRANGEMENT ANSWERS TO THE DESCRIPTION THEREIN THEN IT WILL BE TRETAED AS BUSINESS CONNECTION LEADING TO TAXABILITY OF INCOME IN THE HANDS ON NR FURTHER THE FELLOW WILL BE TREATED AS AGENT OF NR UNDER SECTION 163
CA MANOJ GUPTA
JODHPUR
09828510543
CA MANOJ GUPTA
JODHPUR
09828510543
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- GST on export of services and Input Credit
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Should I report my US salary for January, February, March in Schedule FA?
- GST ON EXPORT COMMISSION
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
