29 January 2014
An Indian company is engaged in Medical Transcription Services for its U.S. clients. A Non Resident individual is helping the company in finding the clients. For this, the Indian company has to pay some specified amount towards commission. My Question is : Is TDS deductible on the amount paid to Non Resident? If not, What is the basis? If yes, How much?
30 January 2014
http://law.incometaxindia.gov.in/DIT/HtmlFileProcess.aspx?FooterPath=D:%5CWebSites%5CDITTaxmann%5CAct2010%5CDirectTaxLaws%5CITACT%5CHTMLFiles%5C2011&DFile=cirsec9.htm&tar=top
This circular states that the previous circulars have been withdrawn... Wat is the consequence of it ?
31 January 2014
Yes ,circular is withdrawn as a consequence to the retrospective amendment in section 9. Now, my above answer remains the same by virtue of the corollary of explanation to section 9(2) read along with proviso to section 5(1) meaning thereby TDS doesn't attract u/s.195.
CAclubindia
