Tds for foreign remittance

This query is : Resolved

Salil Modak (Querist)
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13 September 2012 Dear all

We are into the business of online distribution of market research reports based in India. The way it works is: A customer buys a report via our website, making the payment using his credit card. Once we receive the payment, we intimate the publisher to send the client the desired report. Then we have to remit the publisher's commission to him. This is done in USD or Euro as mainly all the publishers are based in US or UK.
My question is do i have to deduct TDS while remitting their share in the sales??

Amol S Joglekar

Amol S Joglekar (Expert)
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13 September 2012 Yes. you need to deduct TDS. The issue is whether this publisher has indian PAN or not. Be in contact with a Chartered Accountant who will guide you while giving 15CA CB form

CA. Anuj Gupta

CA. Anuj Gupta (Expert)
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03 December 2012 The way I understand this transaction is that the Indian assessee pays to publishers in US/UK for purchasing their reports.

Ifthat be the case then I don't think TDS is required provided NO PE Certificate from the publisher and Tax Residency certificate from the UK/US Income Tax Department is obtained.

Anuj
femaquery@gmail.com

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