Withholding Tax & TDS

[Sandeep_G]

Hi Community,

What is withholding tax and how different is it from TDS?
Who gets effected?

[Bhuvana_Anand]

Hi Sandeep,

Withholding tax is a term that is generally used when the amount is withheld and paid to the appropriate government and is relating to cross-country payments.

TDS is similarly a payment withheld to pay the government and refers to India.

Regards,
Bhuvana Anand