Please Help: income tax
Posted Date : 13-Jul-2011 , 12:28:57 pm | Posted By suvir sharma
indian company employs foreign national in USA on salary basis to provide services in USA
salary paid in foreign currency. He does not visit India . Company has no place of business in USA. What are TDS implications on his salary
salary paid in foreign currency. He does not visit India . Company has no place of business in USA. What are TDS implications on his salary
Category : Income Tax | Answers : 1 | Comments : 3 | Hits : 384
Answers
Answer By: CA. Sachin Data
If the Indian Company has no place of business in USA, then it does mean that the salary is arising from India but payable in USA.
Therefore, as per my opinion the said transaction would definately be trapped under the purview of TDS no matter whether the foreign nationals in USA are visiting India or not.
Therefore, as per my opinion the said transaction would definately be trapped under the purview of TDS no matter whether the foreign nationals in USA are visiting India or not.
Comments
CA. MANISH MALHOTRA
13-Jul-2011 , 12:35:47 pmYes, TDS required to be deducted
CA VIPIN GARG
14-Jul-2011 , 10:03:26 amAs the company does not have a place of business in USA, the expense is also related to the business run in india and the company is claiming that expense in india, so that means the said salary is become due in india, no matter where it has been paid. So in my opinion TDS MUST be deducted to claim the above expenses in their profit and loss account........... Hopefully you find your answer, have a nice day Suvir Jiiiii
lalit garg
16-Jul-2011 , 09:05:01 amas per sec 6 person is non resident,bt as per sec 9 income deemed to b accrue or arise in india becz Principal place of business in india(sec9),so TDS required to b deducted