Applicable tds rate

Gouri Sankar Acharya (Chartered Accountant) (25 Points)

27 June 2016  
Dear Sir /Madam, Our company is engaged in the trading of water Purifier. It sales the product through distributors and give commission to them. It has group companies abroad. Now the company has to remit the commission payble to its group company at Malaysia. The Malaysian group company has raised debit note to the Indian company for commission payable. The abroad company has paid commission on behalf of Indian company to the distributors stayed at Malaysia for adding the business for the Indian company and claims the same from Indian company. Please clarify what will be the applicable TDS rate and under which section in order to prepare 15CB. I have gone through the DTAA but could not find provision for commission payable. Thanks