https://www.taxtmi.com/forum/issue?id=4892 A foreign parent's payment of salary to an Indian national engaged to establish manufacturing operations in India raises Indian tax withholding obligations. If a local branch or subsidiary pays, that Indian entity must withhold and remit tax. If the foreign company pays directly, the foreign payer must ensure TDS compliance for salary for services in India. Payment by an Indian subsidiary and reimbursement by the foreign parent is possible but requires arm's length transfer pricing documentation and careful structuring. en-us Fri, 02 Nov 2012 12:12:37 +0530 Thu, 23 Jan 2025 15:57:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=4892 A foreign parent's payment of salary to an Indian national engaged to establish manufacturing operations in India raises Indian tax withholding obligations. If a local branch or subsidiary pays, that Indian entity must withhold and remit tax. If the foreign company pays directly, the foreign payer must ensure TDS compliance for salary for services in India. Payment by an Indian subsidiary and reimbursement by the foreign parent is possible but requires arm's length transfer pricing documentation and careful structuring. Discussion-Forum Income Tax Fri, 02 Nov 2012 12:12:37 +0530 https://www.taxtmi.com/forum/issue?id=4892