tds paid to non-domestic company

This query is : Resolved

Anil Kumar Reddy (Querist)
Follow

05 May 2011 Hello,
Our client has purchased a machinery from US company. it is billed as cost seperate and installation, brokerage seperate.

as tds has to be deducted only on commission and installation charges. what is the effective rate of tds and What is impact of DTAA

Please answer at the earliest.

Regards and thanks,
Anil Reddy
caanilreddy@gmail.com

Sir Monoj Gupta

The said amount is taxable within the meaning of Income Tax Act. so what shall be the rate of Tds and impact of DTAA

CA MANOJ GUPTA

CA MANOJ GUPTA (Expert)
Follow

05 May 2011 TDS IS TO BE DEDUCTED ONLY IF THE SUM RECD BY THE US COMPNAY IS CHARGEABLE UNDER THE ACT
IF THE US COMAPNAY HAS NO BUSINESS CONNECTION INDIA OR HAS NO PE IN INDIA THEN NO TAX DEDUCTIBLE

CA MANOJ GUPTA
JODHPUR
09828510543