TDS

This query is : Resolved

Yogesh Kumar gupta (Querist)
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08 April 2010 Whether Foreign company is required to get PAN in case if it has no permanent establishment in India?if it has no pan what will be rate of TDS?

Rahul Gupta

Rahul Gupta (Expert)
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08 April 2010 TDS on Payment made to foreign Company is deductible u/s 195 where the rate of TDS specified is 10%+ Cess.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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08 April 2010 NO. THEY ARE NOT REQUIRED TO OBTAIN PAN IF THEY DONT HAVE PERMANENT ESTABLISHMENT IN INDIA. IF IT HAS NO PAN RATE OF TDS WILL BE 30.9%. IF THEY HAVE PERMANENT ESTABLISHMENT AND THEY HAVE OBTAINED PAN TDS WILL BE APPLICABLE DEPENDING ON THE NATURE OF PAYMENT.

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