TDS ON PAYMENTS TO NON-RESIDENTS, Income Tax

[S.C. WADHWA]

A Pvt. Ltd. Co. in India has to make payment to Foreign Co.

 Such Foreign co. are consultants to breakfast cereal Ind.

They are providing us consulting services.

Payment is to be made in GB Pounds.

Whether such payment is subject to tds and If yes, at what rate and what provisions to be complied with.

One bill is furnished inclusive of amount charged towards services rendered and reimbursement of expenses.

Posts / Replies

[rishi mohan]

In the above case both tds and service tax shall be applicable. Tds shall be deducted at the particular rate and service tax shall be paid on reverse charge basis.

[Jungjeet Ahluwalia]

OK the above bill is chargable to TDS. Further can any one clarify, if we have two seperate bills for professional fees & reim of Exp what will be the tax status