Receving money from foreign country : legal formalities

Hi,

There is no issue,You are taking advance or against billing.make sure proper accounting,Billing,Records of Forex transaction.Don't worry if things/work is legal no problem.Hope u have PAN no/Tan No & checking all TDS etc liability(If any0.

Agreed with Mr. Sharma.

Please remember to collect FIRC(Foreign Inward Remmitance Certificate ) from your Bank with proper descripttion of the money that you are receiving.

Anuj

+91-9810106211

femaquery @ gmail.com

Hi SharmaJi and Anuj ji.  Thanks for valuable inputs.  I have few more queries.

1. If I hire contract people from some company for a month, they are charging me X amount + Service Tax.
    When they produce bill, Do I have to Minus TDS from the bill amount?   If yes, then I guess I will need 
   TAN No, otherwise not,  right ?  

2. Anuj ji:  To get this certificate from bank, what evidence bank is going to ask me to produce?

Regards

Hi,

There are two different components.Payment(Forex) have nothing to do with your work exp.( Thru contract technician,machine,space or other exp) you have to have TAN/PAN Nos for your ioncome return of IT  & TDS return ,You may require to file TDs return on your contracts /part time technical support staff,any other exp. You can meet bank manager of your account ,He will ask for some documentation of agreements,remitance process is very simple.