Applicability of sec195 in case of payment

TDS provisions are not applicable on transactions involving Purchase of asset.. 

Payment made should be in the nature of Income deemed to accrue or arise in India in order to attract TDS provisions u/s. 195 read with sec. 9 (1) of the I. Tax Act.

Hi

TDS is only applicable for revenue nature of transactions, hence purchase of an asset (being of capital nature) will not attract any TDS

regards

DEAR ALL 

WE SHOULD PAY LICENCE FEE TO PARTY WHICH IS IN USA  OF RS. 25 LACK  

THERE IS NEED TO DEDUCT TDS ON RS. 25 LACK OF HIGHER RATE 20% (NOT HAVING PAN)

HOW TO DEDUCT TDS ON WHICH AMOUNT CAN I DEDUCT TDS ON 25 LACK AND GIVE PARTY REMAINING AMOUNT

IF I WRONG CORRECT ME