TDS on Reimbursement of Expenses

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Vyom Doshi (Querist)
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28 December 2010 Hello,

My company is a wholly owned subsidiary of a US Listed Company.

The US Holding Company incurs some expenditure on the behalf of the Indian Entity this may include the Travelling, Hotel as well as other Expenditure.

Do we need to deduct the tax while clearing the said payments and at what rate

The US Company has a permanent account number in India

sachin

sachin (Expert)
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29 December 2010 I think TDS need not be deducted. But the said exp should be supported by appropriate Bills etc.