Form 15CB is a certificate issued by the Chartered Accountant certifying that TDS provisions are compiled while making foreign remittance. Whereas, Form 15CA is a certificate cum declaration given by the payer that the amount of TDS deducted is as per Income Tax Act, 1961.
So for any foreign payment you need to check the applicability of form 15CB and 15CA. First you will have to obtain 15CB from a practising CA and then you need to file form 15CA. All the process of filing of form 15CB and 15CA are online.
When form 15CAor 15 CB is applicable?
As per Rule 37BB, the applicability of form 15CA can be divided into two types.
Case I: Foreign payment is taxable in India
The form 15CA under this category is filed in following different parts.
Part A of Form 15CA: It is applicable if the gross payment made to the party does not exceeds Rs. 5 Lac.
For transactions above Rs. 5 Lac part B or Part C can be filed.
Part B of form 15CA is filed after obtaining a certificate from assessing officer or an order from assessing office u/s 195(2) or 195(3).
Part C of form 15CA is filed after obtaining a certificate in form 15CB form a practicing Chartered Accountant.
Case II: Foreign payment is not taxable in India
In this case information is furnished in Part D of Form 15CA.
When form 15CA or 15CB is not applicable?
No 15CA or 15 CB is required for foreign payment not taxable in India, if
- The payment is made by an individual and It does not require prior approval of RBI as per section 5 of FEMA, Act, 1999.
- The payment are specified in following list.
|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||S0101||Advance payment against imports|
|8||S0102||Payment towards imports - settlement of invoice|
|9||S0103||Imports by diplomatic missions|
|11||S0190||Imports below Rs.5,00,000 - (For use by ECD offices)|
|12||SO202||Payment for operating expenses of Indian shipping companies operating abroad|
|13||SO208||Operating expenses of Indian Airlines companies operating abroad|
|14||S0212||Booking of passages abroad - Airlines companies|
|15||S0301||Remittance towards business travel|
|16||S0302||Travel under basic travel quota (BTQ)|
|17||S0303||Travel for pilgrimage|
|18||S0304||Travel for medical treatment|
|19||S0305||Travel for education (including fees, hostel expenses etc.)|
|21||S0501||Construction of projects abroad by Indian companies including import of goods at project site|
|22||S0602||Freight insurance - relating to import and export of goods|
|23||S1011||Payments for maintenance of offices abroad|
|24||S1201||Maintenance of Indian embassies abroad|
|25||S1202||Remittances by foreign embassies in India|
|26||S1301||Remittance by non-residents towards family maintenance and savings|
|27||S1302||Remittance towards personal gifts and donations|
|28||S1303||Remittance towards donations to religious and charitable institutions abroad|
|29||S1304||Remittance towards grants and donations to other Governments and charitable institutions established by the Governments|
|30||S1305||Contributions or donations by the Government to international institutions|
|31||S1306||Remittance towards payment or refund of taxes|
|32||S1501||Refunds or rebates or reduction in invoice value on account of exports|
|33||S1503||Payments by residents for international bidding.|
The form 15CA and CB are generated online. Let us discuss the process of generating form 15CA & CB.
How to generate Form 15CB
As mentioned above, the Form 15CB is provided by a Chartered Accountant. The form is prepared online. So a person who required form 15CB, first need to add a CA in its online income tax account.
The process of adding CA is given below:
Step 1 – Login to e-Filing Portalhttps://incometaxindiaefiling.gov.in/, then Navigate to “My Account” tab on top menu barand then click “Add CA”.
Step 2 – Enter the Membership Number of the CA.
Step 3 – Select 15CB as Form Name and Click Submit.
After this the CA will be added and you can check it from the list.
Once the taxpayer adds the CA, the CA can file Form 15CB in behalf of the Taxpayer.
In order to file Form 15CB, Chartered Accountant must follow the below steps.
Step 1 – User should be registered as “Chartered Accountant” in e-Filing. If not already registered, user should click the link Register Yourself in the homepage.
Step 2 – Select “Chartered Accountants” under Tax Professional and click Continue.
Step 3 – Enter the mandatory details and complete the registration process.
Instructions to e-File Form 15CB
Step 1 – Download FORM 15CB utility from Downloads page and prepare the XML File.
Step 2 – Login to e-Filing, Go to e-File à Upload Form, Enter PAN/TAN of assesse, PAN of CA, Select Form Name as 15CB, Select Filing Type as Original.
Step 3 – Upload the XML generated from the downloaded utility. Upload the signature file generated using DSC Management Utility for the XML. Note: DSC is Mandatory to file Form 15CB.
Once Form 15CB is filed it can be downloaded by the taxpayer from his login account by navigating to worklist and then click on View Form 15CB.
Step 4: Once you click on view form 15CB a link show view form. On clicking view form the status of the form has shown submitted.
After submitting form 15CA the status has been changed from submitted to consumed.
In case you withdraw form 15CA the status has been changed from consumed to withdrawn.
Instructions to e-File Form 15CA
Step 1: login to your account and then navigate to e-File Tab and click Prepare and submit online OnlineForm(Other than ITR)
Step 2: Select the form 15CA and continue.
Step 3: Select the part of Form 15CA applicable to you. You can read the applicability of from 15CA mentioned above for help.
Step 4: Once the form is filled you need to digitally sign the form and submit.
Step 5: You can check and download the Form 15CA by navigating to My Account tab and then click on View e-Filed Returns/Forms.
Step 6: You can also withdraw form 15CA within 7 days from its submission by clicking the link withdraw form 15CA.
Step 7: Once you click on link “withdraw form 15CA” a cofrimation page appears. On confirming the withdrawal, form 15CA has been withdrawn and status has been changed to form 15CA withdrawn.