Tds return filing - Payment to foreign company

[HIMANSHU JARIWALA]

Company A ltd. is Indian co. and has imported machinery from foreign supplier. Supplier has also raised bill for erection of machinery separately. payment for the same was made after deducting TDS as per DTAA with the country of supplier after following procedure u/s 195 and filling form no. 15CA and 15CB. Now, Indian co. is required to file TDS return for the same? If yes, in what form and what about the PAN of that foreign Co.

[Rama Krishana]

In every case where TDS has been deducted and deposited, a return is required to be submitted. Rule 31A of the Income Tax Rules, 1962 prescribes the forms and declaration to be filed for TDS. It is Form 24C and 27Q

AI Summary

TDS Return Required for Machinery Import Payment: Compliance with Section 195 and Rule 31A, Submit Forms 24C & 27Q. Company A Ltd., an Indian company, imported machinery from a foreign supplier and paid for its erection after deducting TDS according to the DTAA with the supplier's country, following procedures under section 195, and filing forms 15CA and 15CB. The query addressed whether a TDS return is required. The response clarified that a return must be submitted whenever TDS is deducted and deposited, as per Rule 31A of the Income Tax Rules, 1962. The relevant forms for filing the TDS return are Form 24C and 27Q.