Tds on foreign company transaction-sec.195

This query is : Open

Ritesh Maheshwari (Querist)
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12 November 2014 Dear Sir/Mam,

We have received consultancy services for our software from our group company which is in Germany.
Now we have to pay consultancy charges to them, so are we required to deduct TDS U/S 195??
If yes then which TDS form is required for file TDS return and how??

Thanks & Regards,

Ritesh Maheshwari

Amol S Joglekar

Amol S Joglekar (Expert)
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12 November 2014 Yes. you need to deduct TDS. Form 27Q is for foreign payment. (pls Also check the service tax requirements also)

Ritesh Maheshwari

Ritesh Maheshwari (Querist)
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12 November 2014 Dear Amol Sir,

We have not PAN of foreign company and at least 85% PAN is required for filing of TDS return, then how we will file the same??

Also who will bear this TDS amount??

Thanks & Regards

Ritesh Maheshwari

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