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TDS rate applicable u/s 195 - AMC charges from UK

Balasubramanian V (Dy. Manager) (45 Points)

04 March 2010

Hello,

Could you please update me the rate of tax (TDS) to be deducted for AMC imported services from UK u/s 195. Thanks

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3 Replies

Rachit (Analyst) (913 Points)
Replied 04 March 2010

U/s. 195 : the Withholding tax rate on Royalty and Fees for Technical services is 10% in case the agreement is made on or after 1/6/2005. Surcharge @ 2.5% is applicable in case of a company which is not a domestic company only if the payment exceeds 1 crore

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Balasubramanian V (Dy. Manager) (45 Points)
Replied 04 March 2010

Hello Rachit. Thanks for your reply.

But, i have a clarification. If it is for Technical services and know how it may be at 10% and if it is for other services other than governmental it is 20%. The services which i have to pay is AMC for Softwares supplied. I don't think any surcharges are applicable. please confirm and if anyone wanted to confirm, they are invited.