21 April 2010
we are a ATC (Authorised training Center) of IATA registered in india . and we are making a ATC Annual Fees of US $ 2500 to IATA (international Air Transport Association,) which is registered in canada and non profit organisation. so can anyone please tell me that weather TDS Dedution u/s 195 is Mandatory or not........
As the fees paid by you is for using the name of IATA and covered under royality.And as per India - Canada DTAA the tax rate would be 20% of gross amount assuming the payee does not have any permanent establisment in india.
CAclubindia
