Tds on foreign payment

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Querist : Anonymous (Querist)
03 August 2012 INDIAN COMPANY HAVING 100% SUBSIDIARY IN ABROAD. ONE INDIAN COMPANY MAKING PAYMENT TO SUBSIDIARY COMPANY AGAINST SERVICE RECD OUT SIDE. WHETHER TDS WILL BE DEDUCTED ON PAYMENT. IF YES U/S/PROVISION ?
thx.
Some other indian company paying to 100% subsidiary of indian company in abroad against service bill of services in foreign . WHETHER TDS WILL BE DEDUCTED ON PAYMENT. IF YES U/S/PROVISION ?


03 August 2012 Yes,TDS provision shall be attracted since you are paying to your subsidiary which is controlled and owned by you...

So far the section is concerned please tell us what is the nature of payment...

Regards


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