Hi All,
One of my client is running business as a research company for various new drugs. They have signed an agreement with a FOREIGN COMPANY. The FOREIGN COMPANY acts as a third party and introduces other clients for business. My client is paying RETAINERSHIP FEES to such FOREIGN COMPANY for the business he has been providing. Now I am unable to decide if Tax needs to be deducted on such payment to the FOREIGN COMPANY. The amount of remittance is $2,000 per month.
Thanks,
Harsha