We have to hire an Australian national freelancer. For the purpose of this contract, he is not traveling to India at all nor does he has an established set-up in India. India and Australia have a Double Taxation Avoidance Treaty for cases like this.
My question is about TDS applicable on his payment.
a. Do we need to deduct TDS @ 10%?
b. Is this particular case covered under double taxation avoidance treaty? Will the section 195 of Income tax Act be applicable or the treaty?
CAclubindia
