TDS on Commission Paid to a Foreign Agent.

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Sonia (Querist)

22 January 2009 Sir,
A Pvt.ltd Co. Paid Commission to the person of nepal.( On Import).
The person of Nepal Raise the Invoice Along with the commission payable to him(i.e sales value & commission).So can we be liable for Deducting TDS on Commission (I think we are liable)But under which Sec. and By what rate..Becoz i had also Seen DTAA with Nepal but i did't find the rate.
1 More thing sir, is there is any norm regarding TDS charged if & only if the Amount of Commission exceeds certain amount.
Please Help me out Soon Sir.
Thank you Sir.

CA Amarpal

CA Amarpal (Expert)

22 January 2009 Dear Sonia,

As per the given facts, I can not give any opinion. You have to mail me at amarpal@icai.org:-

1. What is the status of person in Nepal ? (whether individual or company or else)

2. Wherther the person in Nepal has any PE in India?

3. Whether the person who sell the goods & raise invoice is same?

4. Whether the person receving commission is the same who raise invoice?

Sonia

Sonia (Querist)

22 January 2009 Amarpal Sir,
1.The Person is resident individual of Nepal.
2.I Am not getting the Meaning of PE.
3.The person who sells the goods & Raise the invoice is same.
4.the person receiving the commission is the same who raise the invoice.
thank u sir,i had noted down ur ID nad from next time i'll interect on the same.
thank you sir,& please try to clearfy it.
THANKS & REGARDS,
SONIA

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