Whether PAN no is mandatory for NRI parties for TDS?
Whether PAN no is mandatory for NRI parties for TDS dedcution?
We are paying service charges to NRI for some services in India and TDS to be deducted on this payment.
My question is whether PAN no is required for TDS deduction of NRI party or else we have to deduct higher rate i.e 20% on payment?
TSA is to be deducted even if he has no pan. And rate of deduction is governed by different sections.
Normaly it would be 10% for royalty/technical service.
And deuctor should remit the money to goverment and form16/deduction statement should be issued to NRI.