Want to pay membership fee (subscription) to a foreign co.
This query is : Resolved
01 November 2012
We are Pvt Ltd company engaged in Software and website development. We want to become a partner for a company in USA, which provides a open source software for ecommerce. They will charge annual subscription fee for making us partner and listing us in their website online. The amount is approx. $3000 per year.
My questions is - do we need to pay any service tax or any TDS on this fee amount which we want to pay by sending Wire transfer from our Bank?
My questions is - do we need to pay any service tax or any TDS on this fee amount which we want to pay by sending Wire transfer from our Bank?
CA. Anuj Gupta
(Expert)
02 November 2012
According to me the nature of transaction is "Business Income" and accordingly no TDS should be deducted- provided the foreign Co. doesn't have an PE in India & TRC from Income Tax Department of USA is provided by US Company.
Anuj
femaquery@gmail.com
Anuj
femaquery@gmail.com
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
- ITC not to be taken in accounts & GSTR-3B
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
