tds

hi

An autrialian co. gives training to an indian co . The indian co ,made payment in INR.

what the tds rate should be.

Replies (4)
The Delhi tribunal has held that payments to institutions providing technical training to employees of assessee are not payments for providing professional services and would not attract withholding tax provisions of 194J. Facts: The assessee made payment (including tuition fees and training-related expense) to a management development institute for providing advanced management training to its director without withholding any tax (TDS). According to the assessing officer, the payments were for professional services and hence liable for TDS under section 194J of the IT Act. Outcome: Delhi tribunal observed that the institute was providing management training and running various kinds of programmes and by doing so it was merely ‘imparting knowledge’ to the participants. By no stretch of imagination it can be said that the participant was a recipient of professional services from the institute. Hence, the tribunal held that it was not liable to withhold the tax. Site Reference: https://www.pdicai.org/indexnl1.aspx?nlId=28581 Regards,

Good Answer

very good ans by amit ji

thanks mr. Amit.

pls tell me does it attract sec 195 or not ?

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