pvtltd.co

Direct Tax

Section 195 TDS on NRI Payments

TDS advisory for Indian payers paying non-residents — s.393(2) Table Sl. 17, Income-tax Act 2025 analysis (earlier Section 195, Income-tax Act 1961), DTAA claims, Form 145/146 (earlier Form 15CA/15CB) certification, Form 128 (earlier Form 13) lower TDS certificates, and Form 144 (earlier 27Q) return filing. s.393(2) (earlier Section 195), Form 145/146 (earlier Form 15CA/15CB), Form 128 (earlier Form 13), DTAA override, Section 194-IA NRI property TDS, Form 144 (earlier 27Q) return.

Reviewed by CA Harun Raaj, ICAI Reg. No. 238303·Last reviewed:
Fee on requestTypical timelineSection 195 TDS

TDS advisory for Indian payers paying non-residents — s.393(2) Table Sl. 17, Income-tax Act 2025 analysis (earlier Section 195, Income-tax Act 1961), DTAA claims, Form 145/146 (earlier Form 15CA/15CB) certification, Form 128 (earlier Form 13) lower TDS certificates, and Form 144 (earlier 27Q) return filing. s.393(2) (earlier Section 195), Form 145/146 (earlier Form 15CA/15CB), Form 128 (earlier Form 13), DTAA override, Section 194-IA NRI property TDS, Form 144 (earlier 27Q) return. We keep the work founder-friendly and evidence-led so the company can move without unnecessary back-and-forth.

What is included
  • • Section 195 TDS scope review and action plan
  • • Document checklist and evidence review
  • • Drafting, computation, or filing support
  • • Submission support and acknowledgement tracking
  • • Follow-up on queries, corrections, or notices
  • • Closure notes and next-step reminders
Documents required
  • • PAN, Aadhaar, or entity tax data
  • • Form 16, AIS, 26AS, or return history
  • • Bank statements and ledgers
  • • Notice, contract, or transaction records, if any
Government fees

See the fee table below for the statutory filing charge and common delay logic.

Legal basis
  • • s.393(2) Table Sl. 17, Income-tax Act 2025 (earlier s.195, Income-tax Act 1961)
  • • s.395, Income-tax Act 2025 (earlier s.197, Income-tax Act 1961)
  • • Rule 220, Income-tax Rules 2026 (earlier Rule 37BB, Income-tax Rules 1962)
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Process

How the service works

The workflow is built to be predictable: document collection, legal review, filing, and post-filing follow-through.

Step 1Scope

Confirm the scope

We map the exact service route to the trigger, form set, and documentary evidence so the work starts on the right footing.

Step 2Docs

Collect the records

We gather the company records, notices, or transaction documents needed for section 195 tds and check them for gaps.

Step 3Draft

Prepare the filing or memo

We draft the computations, filings, or advisory memo so the next person in the chain can review it quickly and confidently.

Step 4Close

Submit and track follow-up

We move the file through submission, keep the acknowledgement trail tidy, and handle any follow-up questions that come back.

AEO summary

Section 195 TDS is the CA-led workflow that helps a Private Limited company stay compliant, file the right forms, and keep the record trail clean.

Section 195 TDS on NRI Payments workflow

We start by checking the exact trigger, the legal route, and the documents that make section 195 tds executable for a Private Limited company. That keeps the filing or advisory work tied to the actual statutory path instead of a generic checklist.

Once the scope is locked, we prepare the working papers, filings, and follow-up notes so the matter can move without unnecessary back-and-forth. The goal is to make the process understandable for the founder, the finance team, and the reviewer.

  • • Scope mapping for section 195 tds
  • • CA-led document review and drafting
  • • Submission support and acknowledgement tracking

What this protects for the company

For a Private Limited company, the value is not just speed. It is also about keeping the record trail clean enough for banks, investors, regulators, and future diligence work.

A founder-friendly process lowers the chance of avoidable notices, rework, or missed deadlines while keeping the company aligned with the right section, rule, or circular in Direct Tax.

  • • Cleaner compliance evidence for Direct Tax
  • • Better preparation for diligence or audit
  • • Less last-minute chasing inside the finance team

Government fees

Fee breakdown

ItemFeeNotes
E-filing or notice responseNilThe filing itself is usually fee-free, but late filing can attract fee or interest.
Statutory fee or taxAs applicableAny tax, interest, or appeal fee depends on the exact route.

Timeline

Typical turnaround

Typical timeline usually means a 1–2 weeks turnaround, assuming documents are complete and any board or shareholder approvals are already in place.

Pricing note

Fees can vary by filing type, entity class, and whether the work includes a reply, appeal, or connected computation.

Related services

Keep the company moving

ITR Filing

ICAI CA-managed ITR filing — Form 16 upload, AI extraction, AIS/26AS reconciliation, CA review, and e-filing. Fee on request. Due date 31 July 2026

Direct Tax

Tax planning, compliance, and assessment support under the Income Tax Act — ITR filing for individuals, HUFs, firms, companies, and startups

TDS Return Filing

Quarterly TDS return filing — Form 138 (salary), 140 (non-salary), 144 (NRI payments), 143 (TCS); earlier Forms 24Q / 26Q / 27Q / 27EQ. Late fee ₹200/day under s.427, Income-tax Act 2025 (earlier s.234E, Income-tax Act 1961). Fee on request

Advance Tax

Advance tax computation and calendar management — liability assessment, instalment schedule (15 June/15 Sep/15 Dec/15 Mar), and interest exposure under ss.424 and 425, Income-tax Act 2025 (earlier ss.234B and 234C, Income-tax Act 1961)

FAQ

Frequently asked questions

What does Section 195 TDS cover for a Private Limited company?
Section 195 TDS covers the working papers, filing or advisory route, and follow-up needed to complete the matter cleanly for a Private Limited company. The scope sits on s.393(2) Table Sl. 17, Income-tax Act 2025 (earlier s.195, Income-tax Act 1961), with the exact approach adjusted to the facts in your file.
Which forms are usually involved?
Form 145, Form 146, Form 128 and Form 41 (earlier Form 15CA, Form 15CB, Form 13 and Form 10F). We keep the filing record aligned with s.395, Income-tax Act 2025 (earlier s.197, Income-tax Act 1961) so the submission matches the statutory path.
What happens if we miss the deadline or get a notice?
Delay can trigger late fees, interest, or a further notice depending on the route and authority. We plan the file around Rule 220, Income-tax Rules 2026 (earlier Rule 37BB, Income-tax Rules 1962) so the reply, submission, or correction lands in the correct sequence instead of creating avoidable follow-up.
What should you send us before we start?
Please send the core records first: PAN, Aadhaar, or entity tax data, Form 16, AIS, 26AS, or return history, Bank statements and ledgers. That is usually enough for us to confirm the trigger, map the filing route, and tell you whether any extra approval, valuation, or reconciliation is needed under s.393(2) Table Sl. 17, Income-tax Act 2025 (earlier s.195, Income-tax Act 1961).
Are the Income-tax Act 1961 section references on this page still current after the Income-tax Act 2025?
This page cites the Income-tax Act 2025, in force from 1 April 2026, with the earlier Income-tax Act 1961 section shown alongside (for example s.393(2) Table Sl. 17 for payments to non-residents, earlier s.195). The 1961 Act continues for proceedings and penalties for tax years beginning before 1 April 2026 — s.536(2)(c),(d), Income-tax Act 2025.

Canonical reference: https://www.pvtltd.co/services/section-195-tds

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