TDS on commission paid to foreign co. or individual
This query is : Resolved
CA Amit Pandya
(Querist)
16 October 2009
One Company has paid commission to foreign co. situated in Hong Kong.
Nature of Commission is Sales commission.
Now whether TDS is deductible or not?
If deductible than at what % under which secton??
and If not deductible than exempt under whcich section??
Nature of Commission is Sales commission.
Now whether TDS is deductible or not?
If deductible than at what % under which secton??
and If not deductible than exempt under whcich section??
Anjani Pratap Tiwari
(Expert)
16 October 2009
if the commisssion paid is upto 10% then no tds should be deducted.
CA SANJAY MUKHERJEE
(Expert)
16 October 2009
Hi Amit,
"The Authority for Advanced Ruling has ruled that if an Indian company pays a commission to an overseas company to promote its business in that country, such payment will not be taxable in India."
To read the article see the link below
https://www.taxguru.in/income-tax/taxability-of-commission-paid-by-indian-company-to-foreign-company-to-promote-its-business-in-that-country.html
"The Authority for Advanced Ruling has ruled that if an Indian company pays a commission to an overseas company to promote its business in that country, such payment will not be taxable in India."
To read the article see the link below
https://www.taxguru.in/income-tax/taxability-of-commission-paid-by-indian-company-to-foreign-company-to-promote-its-business-in-that-country.html
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- Employee secondment
- IMS (import of goods) ITC related
- Gift to nri relatives resides in usa
- Positive Balance in RCM Liability/ITC Statement – Commercial Rent RCM – Guidance Required
- Form 144 TDS Return Validation Error – Mandatory Fields
- LLP audit and disclosure
- Form 144 TDS Return Validation error
- GST ITC as per notification 12/2023- central tax
- Rent agreement of House of deceased person
- Ito add credit side of bank
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
