We are paying to foreign vendor towards medical transcription services (BPO services) in US dollars. We need to deduct any TDS from the payment. If yes then how much please let me know. Also on which amount we need to deduct TDS because after paying the amount we will know because exchange vary on a daily basis.
Please note that in this case procedure 15CA and 15CB is to be followed. It is an online procedure. CA Certificate is required. CA will verify the Invoice issued by foreign vendor and along with certificate he will advise you the amount of TDS. Gross up facility can be availed so that you remit the invoice amount to vendor.
Exchange rate keep on varying hour to hour and not daily basis.
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