Monday 11 January 2016

No TDS liability arises due to Retro-amendment in definition of 'FTS'

IT/ILT : Explanations to section 9(2) were inserted by Finance Act, 2010, with retrospective effect from 1-6-1976 by which payments made by assessee to non-residents were taxable in India as 'fee for technical services'; however in view of law as it existed at an earlier point of time when payments were made, it was not possible to comply with tax withholding liability

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