Dtaa related query

Mayank Kapoor (.) (159 Points)

17 January 2012  

Hi

My client ( Company) has an agreement with a company in USA whereby it is acting as a Principal Agent. 

The agreement states certain payments to be made by my client to the company in USA every month . I am confused regarding some categories. Please let me know the category and the percentage of TDS to be deducted as per the DTAA between India and USA.

 

1.) Licence Fees

2.) Payment made on signing the agreement (No nature of payment is mentioned)

3.)Royalty :- Whether the rate will be 20 and 15 % or 10% ( The company in USA manufactures clothes, my client will be spending money on establishment of brands, development of stores, developing new designs in India)

4.)Commission

5.) Web usage :- Amount to be paid to an Indian Company as it created the Global website.

6.) ERP Usage and installation fees

7.)Minimum Guarantee Fees.

 

My client is handling the entire business in India on behalf of the foreign company.

I would appreciate any kind of help. 

An early reply would be appreciated.

Thanks in advance.

Regards

Mayank kapoor

09871009350