TDS u/s 195-Urgent

TDS 594 views 1 replies

we had to make payment of a professional fees to a USA entity , TDS is to be deducted at what rate. If it make difference if it is a company.Is Double Tax Treaty is applicaple on it

Replies (1)

Mr.Harish Bhoota

I am hereunder reproducing the relevant matter useful to you from the Taxmann's Ready Recknor at page 105.

"Royalties and fees for technical services would be taxable in the country of source at the following rates:

a. 10 per cent in case of rental of equipment and services provided along with know-how and techncal services.

b. any other case-

i. duirng first five years of the agreement -

-15 percnet if the payer is Governemnt or specified organisation;

-20 percent in other cases;

ii. subsequent years, 155 in all cases.

Income of Govrnment and certain institutions will be exempt from taxation in the country of source.

To get more clarification you must go through DTAA with the USA.

Best Wishes

Sathikonda


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 12 March 2026
Customer Relationship Executive

TAXLET

Calicut

B.Com

View Details
Company
Featured 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details
Company
Featured 14 March 2026
Article Trainee

N N V Satish&co

Hyderabad

CA Inter

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details