Important Keyword: Form 15CA, Form 15CB, Income Tax.

What is Form 15CA and 15CB?

According to the Income Tax Act, any payment made by a resident to a non-resident must be reported. The taxpayer is required to file Form 15CA and Form 15CB for this purpose. These forms provide details about the nature of the payment, the tax deducted (TDS) on the payment, and the relevant provisions of the Double Taxation Avoidance Agreement (DTAA).

Form 15CA

Form 15CA is a declaration made by the person paying a non-resident, confirming that tax has been deducted from the payment.

Form 15CB

Form 15CB is a certificate issued by a Chartered Accountant. It certifies that the provisions of the Double Taxation Avoidance Agreement (DTAA) and the Income Tax Act have been followed regarding tax deductions on the payment. It includes the following details:

• Information about the payment made to the non-resident
• Compliance with Section 195 of the Income Tax Act
• Rate of TDS deducted
• Applicability of the DTAA

Revised Rules for Submission of Form 15CA and 15CB

The income tax department updated the rules for preparing and submitting Forms 15CA and 15CB, effective from April 1, 2016. Key changes include:

• Individuals do not need to submit these forms for remittances not requiring RBI approval.
• The list of payments that do not require Forms 15CA and 15CB has expanded from 28 to 33, including payments for imports.
• Form 15CB is only required for taxable payments to non-residents exceeding INR 5 lakhs.

Applicability of Form 15CA or 15CB

• No tax liability: No forms are required if the remittance is not taxable.
• Exemptions: Only Part D of Form 15CA is needed if the remittance falls under a specified exemption list.
• Remittance below INR 5 lakh: Only Part A of Form 15CA is required.
• Remittance above INR 5 lakh: Both Part C of Form 15CA and Form 15CB must be submitted.
• Certificate obtained under Section 195(2)/195(3)/197: Part B of Form 15CA should be submitted for remittances exceeding INR 5 lakh.

How to File Form 15CA and 15CB?

Steps to File Form 15CA or 15CB on the e-Filing Portal

1. Login to the e-Filing Portal
   • Use your valid credentials to log in to the e-Filing portal.
2. Navigate to Income Tax Forms
   • Go to the menu and click on e-File > Income Tax Forms > File Income Tax Forms.
3. Search for Form 15CA or 15CB
   • On the File Income Tax Forms page, select either Form 15CA or Form 15CB.
   • Alternatively, you can enter “Form 15CA” or “Form 15CB” in the search box to quickly locate and file the form.
4. Enter the required details
   Click on the get started on the next page. You will be redirected to the particular form you had chosen. Enter the details.
5. e-Verify the Form
   After entering all the details, scroll down and click on the option to e-verify.
6. Successful verification
   After successful e-Verification, a success message is displayed along with a Transaction ID and Acknowledgement Number.

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Official Income Tax Return filing website: https://incometaxindia.gov.in/