dear sir
We are PVT ltd (100% EOU unit). we have declared dividend for FY 2018-19 on 18 of Jan-19. the dividend amount is 2 cores. the share holders were two Foreigner (German individuals). The dividend is a income for the said foreign share holders. let us know whether we have to deduct tds from the dividend? if yez what is the % of tds and surcharges, Cess etc
(for your information dividend distribution tax has been paid @ tax 15% surcharge 12% and cess 4% on Dividend )
Please guide us
Company Declares Dividend for German Shareholders; Questions TDS Applicability Despite Already Paid Dividend Distribution Tax A private limited company, operating as a 100% Export Oriented Unit (EOU), declared a dividend of 2 crores for the fiscal year 2018-19, payable to two German shareholders. The company inquired whether Tax Deducted at Source (TDS) should be deducted from the dividends paid to these foreign shareholders and, if so, the applicable rates for TDS, surcharge, and cess. They noted that a dividend distribution tax was already paid at 15% with a 12% surcharge and 4% cess. The response from a forum participant indicated that, in their view, no TDS is required. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
