TDS ON COMMISSION ON EXPORT

This query is : Resolved

Sonu Verma (Querist)
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17 November 2008
If a company sales its product to abroad through agent and it gives Commission to its Agents in USD......Plz tell me whether TDS is Applicable or Not and under which section (clause),How much will be deduct.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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17 November 2008 Any sum paid to a non resident attracts tds u/s 195. Tax rate is 30.09%.

Sanjay

Sanjay (Expert)
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17 November 2008 TDS is not applicable on Commission to Agents overseas for securing export orders, as per CBDT circular 23 dated 23.07.1969 and 786 dated 07.02.2000

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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17 November 2008 I read the circular and I stand corrected. Thanks to Sanjay.

Sonu Verma

Sonu Verma (Querist)
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17 November 2008 Thanks You Both.......Now i m sure TDS will not be deducted.

Thanks Once again U Both

Sonu Verma

Sonu Verma (Querist)
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17 November 2008 If commission paid to Non-Resident of India, in Indian Ruppees..........TDS will be deducted or not?

Not to be deducted but i need ur openions.