As per the new TDS rules, we need to deduct TDS for all payments paid to foreign companies too.
I pay website hosting companies located in US (eg godaddy.com) charges for website hosting, Server Hosting etc .
How do I deduct their TDS ? They do not have PAN number.
I cannot ask American companies to apply for PAN in India.
Even if I did, they will not apply for PAN. I am a very very small customer for them.
I obviously cannot deduct TDS on their payments. Hence I will have to pay 20% TDS from my pocket.
When filing TDS return, I will not have their PAN card numbers to put in the return.
I really wonder how this will work.
Any suggestions or ideas ?
Thx
San
CAclubindia
