TDS on payments to Logistics company

S.R.Babu Shankar (CFO) (106 Points)

05 May 2011  

We import materials from different countries . A logistics company in India arranges transport and also clearance. We reimburse the sea freight/air freight based on the agreed price and pay separately for clearing of goods.

Do we have to deduct TDS on the freight reimbursement at the agreed rates, if so what is the rate. For customs clearance what will be the TDS rate. Customs clearnace includes reimbursement of expenses incurred at cargo/port plus their service charges.

Thanks in advance for your help