TDS on sea freight

[KISHOR DATTANI]

TDS ON SEA FREIGHT PAID TO AGENCY

[Surender Gupta]

Before deciding the issue you have to see that whether sea freight is taxable in India or not. What is the status of agency etc.

[Guest]

THESE AYMENTS ARE COVERED UNDER SECTION 173 OF THE INCOME TAX ACT 1961, HENCE AYMENT T NON RESIDENCE ARE NOT SUBJECT TO tds. iN CASE OF PAYMENT TO RESIDENCE THE PAYMENT ARE SUBJECT TO TDS U/S 194C

AI Summary

TDS on sea freight depends on taxability and recipient residence; non residents may not attract withholding obligations. TDS on sea freight paid to an agency depends on whether the freight is taxable in India and on the agency's residence status; payments to non residents are reported as not subject to TDS, whereas payments to resident agencies are subject to TDS under provisions governing contract/transport payments.