Tds on services received outside india

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This query is : Resolved

Priyanka Agrawal (Querist)

01 June 2012 An indian company participated in an exhibition in singapore. It incurred some expenses regarding the participation fees and booking of a stall to display their services.
Will this transaction be liable for TDS? If yes, then in which section?
Will the answer change if the exhibition had been in some other country?

Ca Anand Dubey

Ca Anand Dubey (Expert)

01 June 2012 on As per section 195. "Any person responsible for paying to a non-resident, not being a company, or to a foreign company, any interest or any other sum chargeable under the provisions of this Act (not being income chargeable under the head “Salaries” shall, at the time of credit of such income to the account of the payee or at the time of payment thereof in cash or by the issue of a cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon at the rates in force "

It says to deduct tds if the sum is chargeable under the provision of this act.In your case you have to check the changeability of Income and if chargeable deduct tax , Plz check the link https://www.du.ac.in/fileadmin/DU/Academics/course_material/TM_02.pdf
and then read together with section 195 and provision of DTAA

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