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Reimbursement of salary cost payable to the employ

Posted @ February 3, 2014, 3:00 am under (International Taxation Services)

In ITO v. M/s Ariba Technologies (India) Pvt. Ltd. [ITA No. 616 (Bang) 2011], it was held that since the employees were under the direct control and supervision of the Indian company therefore reim bursement of salary cost to the foreign company should not be subject to tax withholding u/s 195 of the Act, provided the Indian company has duly withheld taxes u/s 192.


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