TDS on purchase of Shutter Stock License for downloading images for Co. website. total pur. >1lakh

Save Share

This query is : Resolved

Quick Summary

This discussion explores whether Tax Deducted at Source (TDS) is applicable when a company purchases a Shutterstock license, paid in dollars via credit card, for downloading images for its website. While one opinion suggests no TDS is required for such copyright purchases from NRIs, another user questions this, citing it as a potential copyright purchase from a non-resident. A relevant case (Autodesk Asia Pte Limited vs. DCIT) is mentioned, indicating no TDS under Section 195 for software licenses purchased from non-residents for resale or use.

mohit aggarwal

mohit aggarwal (Querist)
Follow

04 October 2022 My company purchased Shutterstock License 365 days subscription paid through credit card. purpose for purchase is download Images & use it on our own company website. Whether need to Deduct & Submit TDS. If Yes at what rate. payment in dollars.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

05 October 2022 No TDS need to be deducted in such a case.

mohit aggarwal

mohit aggarwal (Querist)
Follow

07 October 2022 Sir, With due respect, i want to ask the reason, Why no TDS should be deducted on this, isn't it a copyright purchase from NRI,?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

07 October 2022 No TDS u/s 195 on purchase of software licenses from non-residents for resale or use.
In favour of: Assessee
Appeal No: IT (IT) No. 3234/Bang/2018
Case Details: Autodesk Asia Pte Limited vs. DCIT

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!