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person responsible for deducting Tax

TDS 756 views 1 replies

Hi

In case of the Indian Company (wholly owned subsidiary of foreign company) having both directors being foreign directors, than whether for the purpose of TDS return - person responsible for TDS can be foreign director? As the TDS software does not allow the address out of India..... What is the definition of person responsible for TDS in such case?

Replies (1)

Dear Sir,

"Person responsible for deducting tax"  should not necessarily be a "Director"

Sec 206(1) -

The prescribed person in the case of every office of Government, the principal officer in the case of every company, the prescribed person in the case of every local authority or other public body or association, every private employer and every other person responsible for deducting tax [before the 1st day of April, 2005] under the foregoing provisions of this Chapter shall, within the prescribed time after the end of each financial year, prepare and deliver or cause to be delivered] to the prescribed income-tax authority[or such other authority or agency as may be prescribed], such returns in such form and verified in such manner and setting forth such particulars as may be prescribed:]

Sec 2 defines Principal Officer

35)   “principal officer”, used with reference to a local authority or a company or any other public body or any association of persons or any body of individuals, means—

        (a)   the secretary, treasurer, manager or agent of the authority, company, association or body, or

        (b)   any person connected with the management or administration of the local authority, company, association or body upon whom the  [Assessing] Officer has served a notice of his intention of treating him as the principal officer thereof ;


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