Withholding tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

03 October 2016 Dear Experts,

My query regarding the sharing withholding tax deducted by Thailand authority for Indian Client. Thiland authority deducted tax and deoposited also. Indian client (Entity A) separate out their business with one of the their sister concerns (Entity B) and they became separate legal entity. During the year some of the invoices were raised by Entity A and some of the invoices raised by Entity B.But Thailand Company had given tax certificate only in the name of Entity B.
Now issue is entity A and entity B wanted to share Tax deducted by Thailand company.

My query here is can both the entities do that? Is there any provision of Income tax act support such thoughts? Whether Income tax authority accept this?

I am looking forward an expert opinion on the queries as early as possible.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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04 October 2016 If you prove through bank statements that deduction has been made from payments made to both the entities, then based on such evidence tax and income can be shared based on invoice raised.
Get a certificate from Thailand company TDS has been done for both entities.

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