TDS on Royalty for an US Citizen

This query is : Resolved

Aneesh Gopinath (Querist)
Follow

14 July 2011 Hello,

TDS on royalty is applicable to an US Citizen earning income from India by publising books. Who doesn't have any registered business in India.

CA MANOJ GUPTA

CA MANOJ GUPTA (Expert)
Follow

14 July 2011 Such royalty income will be deemed tpo accrue or arise in India hence ;liable to tax deduction at the rate of 10.3 percent

CA MANOJ GUPTA
JODHPUR
09828510543

Aneesh Gopinath

Aneesh Gopinath (Querist)
Follow

15 July 2011 Thanks, If the US Citizen doesn't have any pan card the rate will change or not? also he need to file the tax return in India.

Upgrade to CAclubindia Pro. Subscribe Now!

CA. Anuj Gupta

CA. Anuj Gupta (Expert)
Follow

15 July 2011 Here it needs to be seen whether any Permanent Establishment of US Citizen is made out or not.Kindly check whether US Citizen has stayed in India for how many days?

Also kindly check the profession of US Citizen?

In the case of normal royalty payment( i.e. without any PE)then the TDS @ 20% shall be liable to be deducted.

The US Citizen shall be required to file return of income in India.

Anuj
0-9810106211