I have to make the agency agreement with a forigen company have its place of business in bangladesh for the export orders to their country they give us.
We have to pay them the commission on the order basis.
"In the agreement should i specify that the tds will be deducted at 20% if they don't have the pan card no as per section 195 of income tax rule.Else it is nil against the pan no provided."
Is this applicable to the company in Bangladesh also.
Ramachandran
Uner section 195 when you make payment towards any expenditure which will be deductible when you are filing of income tax return then you have make TDS under Section 195 if the receipient is a non-resident. so whether the information about tds is mentioned in the agreement or not you have make tds
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