Tax in India on salary to employee sent abroad for rendering services to a foreign company

The Applicant is obliged to withhold taxes on such salary paid in India, it is seen that the provisions of section 192 (1) are very clear. Tax is required to be deducted by the employer from the income payable which is chargeable to tax under the head salaries. This Authority had occasion to examine this issue in the case of British Gas India (P.) Ltd. (supra), wherein on similar facts this Authority had ruled that salary paid for rendering services in the UK were not taxable in India and that no tax need be deducted therefrom, provided the tax on that income was paid in the UK. The Applican...