TDS on Payment made to Non Resident

CA Bharat Nakrani (Professional) (46 Points)

18 June 2011

One of my client is making payment to data center companies located in US and Canada as co -location charges and bandwidtth charges on monthly basis.

Those companies do not have any permanent establishment in India.

So, whether TDS is to be deductible under section 195 , if yes at what rate ?

Whether service tax will be applicable on reverse charge basis?

This is not a payment against royalty, fees for technical service or license fee.

Reply
Follow
Share

2 Replies

U S Sharma (glidor@gmail.com) (21056 Points)
Replied 18 June 2011

Originally posted by : CA Bharat
	One of my client is making payment to data center companies located in US and Canada as co -location charges and bandwidtth charges on monthly basis. Those companies do not have any permanent establishment in India. So, whether TDS is to be deductible under section 195 , if yes at what rate ? Whether service tax will be applicable on reverse charge basis? This is not a payment against royalty, fees for technical service or license fee.