Tds u/s 195

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Sajini

Sajini (Querist)
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18 December 2011 Is TDS deductible u/s 195 on payment made to a foreign government agency?

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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18 December 2011 Yes. No exemption of TDS to foreign government agency. Only Govt Department in India are exempted.

CA. Anuj Gupta

CA. Anuj Gupta (Expert)
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18 December 2011 The case needs to be seen in detail as no income accrues to FOREIGN GOVERNMENT. Whether in your case agency of said government falls within said definition,needs to be seen.

Anuj
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Guest

Guest (Expert)

19 December 2011 As per the provisions and Gazette notifications of the Income Tax Department pertaining to Section 195, TDS should be deducted from interest or any other income earned in India by a non-resident individual or Company, and deposited in the Government treasury (Form 27EQ).