Sec 195 - URGENT
This query is : Resolved
07 March 2011
one of my exporter client needs to transfer COMMISSION to the New Zealand based Broker. now the questions are:
1. what shall be the rate at which he is required to deduct TDS?
2.under what clause of DTAA shall this transaction ll come?
3. Rate of TDS under DTAA?
Thanking in advance
1. what shall be the rate at which he is required to deduct TDS?
2.under what clause of DTAA shall this transaction ll come?
3. Rate of TDS under DTAA?
Thanking in advance
08 March 2011
Normally TDS should not be deducted u/s 195 as the income shall not accrue or arise in India, if the foreign agent doesn't have any PE in India.Also the same shall also depend on the exact nature of services being provided by the foreign agent.
Anuj
0-9810106211
Anuj
0-9810106211
Message likes :
1 times
08 March 2011
CA Anuj, i extend my thanks for the quick response you gave.
In the present case the commission is being given on the basis of Sale Order provided by this agent.
also please can u provide me the Clause under which the transaction will come under DTAA?
In the present case the commission is being given on the basis of Sale Order provided by this agent.
also please can u provide me the Clause under which the transaction will come under DTAA?
08 March 2011
Pls, check this link.
http://www.allindiantaxes.com/new%20zealand.php
Pls, check this link.
http://www.allindiantaxes.com/new%20zealand.php
09 March 2011
The character of commission income is under the head "Business Income" and the clause of India-New Zealand DTAA is Clause 7.
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
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Capital gain from sale of house property
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- TDS on Purchase of Immovable Property by NRI from NRI
- Regarding TDS Applicability For Director Remuneration
- Transporter Declaration form
- Before GSTAT- APL-02 Vs APL-04
- Annual return in Gst
- Copyright software
- FORM 26A APPLICABILITY
- Tds UNDER SECTION 195 INTEREST PAID TO NRI DIRECTOR
- Clarification on TDS Applicability
- Opting our of sec 44AD
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
