Whether PAN no is mandatory for NRI parties for TDS? - Professionals - Finance - TIK Share
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Whether PAN no is mandatory for NRI parties for TDS?


CA  HEMANTH KUMAR Y.S

2013-08-28

Hi 

Whether PAN no is mandatory for NRI parties for TDS dedcution?

Following situation:

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?

CA Pulkit Sharma

2013-09-01

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.

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CA Pulkit Sharma

2013-09-01

TSA = TDS

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