income tax

madhavvan (service) (154 Points)

14 June 2010  

A non resident foreign company which has been awarded a contract for installation and commissioning services by an indian company and has been given a place inside the factory premises.

The foreign company receives payments abroad according to bills raised by it for services performed by it in india.

the foreign company has employed some contractors and a manager who are also paid by the foreign company by way of fund transfer to their banka/cs in india.

Now the manager of foreign company also makes certain apyments out of fund recd from foreign company

what will be the income tax obligations for the foreign company in india and of the manager whether they are both required to deduct tds on the payments made to contractors or the funds transferred to manager will be contrued as income in his hands and accordingly he being employee will be liable for tds payments since foreign company has not deducted any tds