Conference call charges paid to non resident - tds applicabl

Please help me solve this query.

The service provider is located out of india. He is providing conference call facility to an entity  resident in india. Whether TDS is applicable on the same and if its poosible please provide a supporting case law.

Replies (5)

 /forum/messages/2009/11/57688_tds_is_applicable_for_video_conference.asp

Is this the samething u looking for???i jus read this few days b4 in this club..hope this helps u

Thanks Hareesh...But what i am looking for is phone conferencing and not video conferencing.Please see if u could help me with this

Thanks a lot Hareesh.Your prompt response helped me....

 i dint do much anjana.....it ws jus i had read it few days..so tout of giving the link 2 u

It is his telecommunication business abroad. You are using the service abroad and it is possible you are paying by credit card. If the remittance is of nature of technical fees, then only you have to deduct TDS as per provision of Section 9 or DTAA.

 

Within India, phone call services are not covered under Technical Fees. As this is business income of payee, you will be deducting TDS U/s 195 @ 40% + surcharge of 2.5% only if the business was done through a dependent agent or branch office of the non-resident in India. If you connected vis internet or phone the business is abroad. However, if very large and if you have to make remittance by DD or TT, rather than going for form 15CB from CA, on the safer side, better to apply for certificate u/s 197 and based on that you fill form 15CA.

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