TDS _ Non Resident

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This discussion clarifies whether Tax Deducted at Source (TDS) applies when an Indian company pays a foreign vendor for online cybersecurity exams for its employees. The consensus is that TDS is not applicable to such payments as the remittance of examination fees outside India is generally not considered taxable in India.

praveen

praveen (Querist)
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12 May 2022 Dear Team,
Indian company is obtaining online cybersecurity exam from foreign vendor for its employees.
Will TDS applicable while remitting the payment, if yes at what rate and section..?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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12 May 2022 TDS not applicable on such payment.

praveen

praveen (Querist)
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12 May 2022 Dear Sir,
Thanks for your reply, could you pls share the respective provision extract.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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12 May 2022 Remittance of Examination Fees outside India - Not taxable in India and no TDS is liable to be deducted.
See the link.
https://www.taxmanagementindia.com/visitor/detail_rss_feed.asp?ID=402#:~:text=Next%20%E2%86%92-,Remittance%20of%20Examination%20Fees%20outside%20India%20%2D%20Not%20taxable%20in%20India,is%20liable%20to%20be%20deducted

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