Interest paid to foreign entity on letter of credit
This query is : Resolved
26 December 2017
Dear Sir,
We are paying Interest to Foreign Entity and deducting TDS as per DTAA - Article 12 10%, Sec 115A is also applicable however it has 20% hence benefit of DTAA is available.
Please help whether GST is applicable to the some. Also help me with the relevant section of reference support to the solution.
Thank you.
We are paying Interest to Foreign Entity and deducting TDS as per DTAA - Article 12 10%, Sec 115A is also applicable however it has 20% hence benefit of DTAA is available.
Please help whether GST is applicable to the some. Also help me with the relevant section of reference support to the solution.
Thank you.
CA R SEETHARAMAN
(Expert)
26 December 2017
GST not applicable on interest payments.
26 December 2017
Thank you for the solution Sir. Please help me with section reference under CGST Act or any other reference.
CA R SEETHARAMAN
(Expert)
26 December 2017
See the link.
https://www.quora.com/Do-banks-charge-GST-on-the-interest-of-a-loan
https://www.quora.com/Do-banks-charge-GST-on-the-interest-of-a-loan
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Capital Gail Exemption Certificate
- Utilisation Fy 25-26 TDS challans in Fy 26-27 TDS Return
- Oct 2025 Invoices
- SECTION 393(3) TAX ON CASH WITHDRAWAL
- Taxation of crypto futures in India Fy 2026- 2027
- Transfer of Physical Stock Between Two Proprietorship Concerns
- EPF ECR NEW RULES Sep 17th 2026
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
