26 April 2014
While going thru books of accounts of one of the client, it has been observed that client has paid advertisement charges to Google India Pvt Ltd however he has not deducted any TDS on it?
Is it a correct treatment, i hv read abt concerned casr law in which amt was paid to Google Ireland Inc. hence no need of TDS but here party is different.
Pl give ur valuable advise. Thank you.
26 April 2014
Dear Amol frist you have to check with the agreement with Gloabal ltd in that agreement is there any contract you have to deduct the tds under section 194(c)Otherwise follow the section of 194 (j).
27 April 2014
google ireland is covered under 195 and is based on application of DTAA.
payment made to Indian company is covered under 194c and tds has to be deducted unless a nil deduction certificate has been procured by google india and the same has been shared with your office.