17 December 2010
We have to make payment to the foreign company which has rendered software maintainance service & Co is not setup in India & also not have its PAN no in India.
18 December 2010
The rate shall be 20% as per sec. 206AA and no rates have been prescribed under sec. 195(unlike as replied by our other expert).The rate of 40% shall be applicable on the Net Profit ,only if the foreign company has a PE in India.
CAclubindia
