We have to pay Fees for technical services to a Company in Switzerland, the recipient doesnot have the PAN no in India and the remittance shall be made net of taxes. India does have a DTAA with the Switzerland pl suggest at what rate Tax shall be deducted.Also how the grossing up shall be done.
10 May 2011
AS PER DTAA WITH SWITZERLAND THE TAX RATE ON FEES FOR TECHNICAL SERVICES IS 10 PERCENT RATE AS PER FINANCE ACT IS ALSO 10 PERCENT SO TAX IS TO BE DEDUCTED AT 10 PERCENT PLUS SC PLUS EC PLUS SHEC GROSSING UP IS TO BE DONE AS UNDER NET AMOUNT PAYBLE/100-RATE OF TDS
CAclubindia
