Payment to non resident

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

31 January 2013 Our co. is liable to make payment to a non resident as technical fees & is liable to deduct tax under sec. 195.
so whether we have to deduct tax on service tax amount also???

CA AYUSH AGRAWAL

CA AYUSH AGRAWAL (Expert)
Follow

31 January 2013 On Impost of Services :- Reverse Charge Mechanism is applicable.
So You Have to Pay Service Tax , Say Import is 100+12.36 = Total 112.36, Now Deduct TDS @ Whatever Applicable on Full Amount (i.e Including Service Tax Portion)