If a foreign contractor established in a country with which a DTAA is signed is paid in excess of the exemption limit, is the Indian Company liable to deduct tax?
07 February 2011
Generally, TDS liability u/s 195 for the foreign remittances does not arise if the above foreign contractor does not have any PE in India and you should check this condition in the DTAA with the concerned country then the income Tax is not deductable.
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