TDS on Delegation Fees

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suresh

suresh (Querist)
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13 May 2008 Delegation fees paid for joining deleation to foreign country liable to TDS deduction ?

S.Srinivasaraghavan

S.Srinivasaraghavan (Expert)
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13 May 2008 yes

suresh

suresh (Querist)
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13 May 2008 if yes,than under which section? bcoz it includes other expenses also tobe incurred at delegation!!

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CA SHARAD SINHA

CA SHARAD SINHA (Expert)
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15 May 2008 U/S 195.THE FACT THAT IT INCLUDES EXPENSES WHICH MAY OR MAY NOT FORM PART OF INCOME OF THE RECEIPIENT IS TO BE IGNORED SINCE THE SECTION SAYS"ANY SUM" AND FURTHERMORE IT IS SETTLED PROVISION OF LAW THAT YOU CAN NOT YOURSELF SIT ON JUDGEMENT TO DECIDE WHETHER OR NOT ANY RECEIPT WILL BE TAXABLE IN THE HANDS OF THE RECEIPIENT.SINCE YOU ARE MAKING A PAYMENT AND SECTION REQUIRES TDS/WITHOLDING TAX TO BE DEDUCTED/HELD BACK YOU NEED TO DO THAT

Ravikumar.G

Ravikumar.G (Expert)
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17 November 2008 Finance act of the relevant year or
DTAA entered by CG u/s 90 or
Agreement notified ny the CG u/s 90A
whichever is most beneficial to the assessee shall apply.