Tax Deduct At Source

TDS refers to Tax Deduction at source, where the receiver of service deducts TDS while making payment to suppliet and remits the same with Income tax department. Which inturn the supplier can utilise against IT Payable or apply for refund.

For export of services, the receiver is outside India who is not bound to Indian Tax Law. However if TDS has to be deducted as per Income Tax law of his country the same may be deducted and paid as per your contract terms.