TDS on Commission Paid to a Foreign Agent.

This query is : Resolved

Sonia (Querist)
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22 January 2009 Sir,
A Pvt.ltd Co. Paid Commission to the person of nepal.( On Import).
The person of Nepal Raise the Invoice Along with the commission payable to him(i.e sales value & commission).So can we be liable for Deducting TDS on Commission (I think we are liable)But under which Sec. and By what rate..Becoz i had also Seen DTAA with Nepal but i did't find the rate.
1 More thing sir, is there is any norm regarding TDS charged if & only if the Amount of Commission exceeds certain amount.
Please Help me out Soon Sir.
Thank you Sir.

CA Amarpal

CA Amarpal (Expert)
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22 January 2009 Dear Sonia,

As per the given facts, I can not give any opinion. You have to mail me at amarpal@icai.org:-

1. What is the status of person in Nepal ? (whether individual or company or else)

2. Wherther the person in Nepal has any PE in India?

3. Whether the person who sell the goods & raise invoice is same?

4. Whether the person receving commission is the same who raise invoice?

Sonia

Sonia (Querist)
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22 January 2009 Amarpal Sir,
1.The Person is resident individual of Nepal.
2.I Am not getting the Meaning of PE.
3.The person who sells the goods & Raise the invoice is same.
4.the person receiving the commission is the same who raise the invoice.
thank u sir,i had noted down ur ID nad from next time i'll interect on the same.
thank you sir,& please try to clearfy it.
THANKS & REGARDS,
SONIA

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