Foreign remittance (tds)

Mayank Kapoor (.) (159 Points)

16 January 2012  

 

Hi 

I have a client who has a contract with an individual lady (Mrs X) in Europe where Mrs.X would send tourists from different countries to India . Our client , then, provides the services to the tourists India. 

My client has to pay $1000 monthly f​or this Inbound service to Mrs.X.

I have few questions :-

1.) Do we have to deduct TDS while making foreign remittance?

2.) If yes, what would be the rate and the category?

Mrs X does not have any PE in India.

 

Any early reply would be appreciated.Please treat it as urgent

Regards

Mayank Kapoor

09871009350