Refer Revised Article:
Post below article CBDT has revised rules for form 15CA and Form 15CB. Please refer above article for further detail.
In earlier article about Withholding Tax (WHT), we have discussed about the process and applicability of Form 15CA and 15CB. On 5th August, 2013 CBDT revised the guidelines on Form 15CA and Form 15CB and further amended on 02nd September 2013. Below article gives a summary of changes made.
- Revised Forms and Amendments shall come into force on the 1st October, 2013.
- Applicable to : Any payment including any interest or salary or any other sum chargeable to tax, to non-resident, not being a company, or to a foreign company
Changes in New Form 15CA
|Part A of Form 15 CA (Form 15CB not required)|
|Who Shall Fill It||To be filled up if the remittance to non- resident or to a foreign company does not exceed Rs. 50000 per transaction and aggregate of such payments made during the financial year does not exceed Rs. 2,50,000|
|What information has to be filled||1. Particulars of Remitter, Remittee, Remittance made and TDS|
|2. Mandatory to furnish PAN of Remitter, if tax is deducted then TAN of the Remitter also needs to be provided|
|3. Form prescribes mandatory application of provisions of Section 206AA, if remittance is chargeable to tax and PAN of remittee is not available.|
|4. E-mail and Phone Number of remittee to be furnished, if available|
|Part B of Form 15 CA ***(Form 15CB required)|
|Who Shall Fill It||To be filled up for remittances other those specified in Part A (If the Remittance is chargeable to tax and exceed Rs. 50000 per transaction and aggregate of such payments made during the financial year exceeds Rs. 2,50,000)|
|What information has to be filled||1. Forms prescribe mandatory application of provisions of Section 206AA, if PAN of remittee is not available;|
|2. Other Details|
|Details of Remitter, Remittee and Accountant to be specified in this section|
|Particulars of Remittance and TDS (as per certificate of accountant), namely:|
|a. Remittance details|
|b. Taxability under the Income Tax Act|
|c. Taxability under the relevant DTAA. Details of TRC (Tax Residency Certificate)|
|d. TDS details|
*** Part B of Form 15CA is to be filled after obtaining either of the below
- a certificate in form no. 15cb from an accountant (chartered accountant) or
- a certificate from the Assessing Officer (AO) under Sec 197 or
- an order from Assessing Officer under sub-sec (2) or sub-section (3) of sec 195
Changes in New Form 15CB(PDF) (Excel Format of Revised Form 15CB)
Additional details to be provided in new Form 15CB are
- Taxability under the Income-tax Act without considering the relief of the DTAA
- If income is chargeable to tax in India and relief is claimed under the DTAA, whether TRC has been obtained from the recipient?
- If remittance is on account of capital gains details of amount of short-term, long-term capital gains and the basis of arriving at the taxable income.
Revised Process for filing Form 15CA (atleast till the time NSDL site is update)
1. Login on the e-filing portal at the following link – https://incometaxindiaefiling.gov.in/e-Filing/UserLogin/LoginHome.html
2. Visit the link – e-file → Prepare and Submit Online Form(Other than ITR) → Select Form 15CA and Assessment year.
Form 15CA & Form 15CB not required for Import Payments
Few banks have started asking for Form 15CA and Form 15CB sighting RBI circular of 2007 “Remittances to non-residents – Deduction of tax at source“
CBDT Circular clearly states ” Any person responsible for paying to a non-resident, not being a company, or to a foreign company, any interest or salary or any other sum chargeable to tax under the provision of the Act, shall furnish the following information” (in form 15CA and Form 15CB)
Payments made against Import Purchases constitutes Business Income of the Overseas Supplier and is taxable in India only if it is attributable to a Business connection/Permanent Establishment in India as per Section 9(1)(i) and respective Double Tax Avoidance Agreement. Thus, in absence of any income chargeable to tax in India there cannot be any application of Section 195 & form 15CA and Form 15CB is not applicable for remittances towards import payments.
Few banks are taking a declaration from Importers in their forwarding letter that given Import payment amount is non chargeable to tax in India and carrying out transaction without Form 15CA and Form 15CB.
Explanation 2: For the removal of doubts, it is hereby clarified that for payments of the nature specified in column (3) of the specified list below, no information is required to be furnished under sub-rule (1).
Thus no form 15CA and Form 15CB in applicable for below cases.
|Sl.No.||Purpose code as per RBI||Nature of payment|
|1||S0001||Indian investment abroad -in equity capital (shares)|
|2||S0002||Indian investment abroad -in debt securities|
|3||S0003||Indian investment abroad -in branches and wholly owned subsidiaries|
|4||S0004||Indian investment abroad -in subsidiaries and associates|
|5||S0005||Indian investment abroad -in real estate|
|6||S0011||Loans extended to Non-Residents|
|7||S0202||Payment- for operating expenses of Indian shipping companies operating abroad.|
|8||S0208||Operating expenses of Indian Airlines companies operating abroad|
|9||S0212||Booking of passages abroad -Airlines companies|
|10||S0301||Remittance towards business travel.|
|11||S0302||Travel under basic travel quota (BTQ)|
|12||S0303||Travel for pilgrimage|
|13||S0304||Travel for medical treatment|
|14||S0305||Travel for education (including fees, hostel expenses etc.)|
|16||S0501||Construction of projects abroad by Indian companies including import of goods at project site|
|17||S0602||Freight insurance – relating to import and export of goods|
|18||S1011||Payments for maintenance of offices abroad|
|19||S1201||Maintenance of Indian embassies abroad|
|20||S1 202||Remittances by foreign embassies in India|
|21||S1301||Remittance by non-residents towards family maintenance and-savings|
|22||S1302||Remittance towards personal gifts and donations|
|23||S1303||Remittance towards donations to religious and charitable institutions abroad|
|24||S1304||Remittance towards grants and donations to other Governments and charitable institutions established by the Governments|
|25||S1305||Contributions or donations by the Government to international institutions|
|26||S1306||Remittance towards payment or refund of taxes.|
|27||S1501||Refunds or rebates or reduction in invoice value on account of exports|
|28||S1503||Payments by residents for international bidding|
- Revised Form 15CA Format
- Revised Form 15CB Format, Excel Format of Revised Form 15CB
- NOTIFICATION 67/2013 [SO 2659(E)] : Income-tax (Fourteenth Amendment) Rules, 2013 – Substitution of Rule 37BB and Form Nos. 15CA and 15CB Dated : 02-09-2013
- CBDT-Substitution of Rule 37BB and Form 15CA-15CB (Notification No 58/2013): Dated: 05-08-2013
- Form 15CA (Online Filling) (Follow process given in article)
- Income Tax Circular : Remittances to non-residents: Dated: 29-06-2009
- Procedure for furnishing information in Form 15CA and Form 15CB
- Form 15CA & 15CB Not Applicable on Interest payment to Indian Bank Branches
- Section 9(1)(i)
- Country-wise Double Taxation Summary Chart on Interest