26 May 2016
Our Parent Company is in Japan and we have a staff of Japanese people who are getting Salary from Japan and India also.We made a payment of Rs 60000/- as professional fees for japanese Staff. However this amt is debited to Suspense A/c as this amount will be reimbursed to us By Japanese Parent Co.. So my Ques is..we have not deducted TDS on this payment. Will 30% Expense will be disallowed as per sec 40(i)(a). But we are not claiming any expenditure(it is debited to suspense A/c), So hot it can be disallowed. What are the consequences or is it ok?? Thanks in advance
CAclubindia
