{"id":441,"date":"2020-05-05T08:34:37","date_gmt":"2020-05-05T07:34:37","guid":{"rendered":"http:\/\/vdtc.co.in\/?p=441"},"modified":"2020-05-05T08:34:37","modified_gmt":"2020-05-05T07:34:37","slug":"what-is-form-15ca-and-15cb","status":"publish","type":"post","link":"https:\/\/vdtc.co.in\/?p=441","title":{"rendered":"What is form 15CA and 15CB?"},"content":{"rendered":"\n<h3 class=\"wp-block-heading\">About:<\/h3>\n\n\n\n<ul class=\"wp-block-list\"><li>According to Section 195 of Income Tax Act 1961, every person liable for making a payment to a non-resident shall deduct withholding tax from the payment made to a non-resident if such sum is chargeable to Income Tax and form 15CA and 15CB are the declarations for the same.<\/li><li>A person making any remittance to a non-resident or a foreign company needs to submit Form 15CA online. This form is submitted online and in some cases, a certificate from Chartered Accountant in form 15CB is required after uploading the form 15CA online.<\/li><li>\u00a0The furnishing of information for payment to a non-resident or a foreign company in form 15CA has been classified into four parts :<ol><li><strong>PART A<\/strong> &#8211; Where remittance for the aggregate of such remittance does not exceed 5,00,000 rupees during the financial year.<\/li><li><strong>PART B<\/strong> &#8211; where an order\/certificate u\/s 195( 2)\/195(3)\/197 of Income Tax Act 1961, has been obtained from Assessing Officer.<\/li><li><strong>PART C<\/strong> &#8211; Where the remittance for the aggregate of such remittance exceeds 500,000 during the financial years.<\/li><li><strong>PART D<\/strong> &#8211; Where, under domestic law, the remittance is not chargeable to Tax.<\/li><\/ol><\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">\u00a0<strong>15CB is the tax determination certificate.<\/strong><\/h3>\n\n\n\n<p>where a Chartered Accountant examines the remittance with regard to changeability provision under Section 5 and 9 of Income Tax Act, 1961.<\/p>\n\n\n\n<p>Moreover in accordance with the provisions of double tax avoidance agreement (DTAA).<\/p>\n\n\n\n<p>Form 15CB is a certificate certified by a\u00a0 CA having details of payment, TDS rate and TDS deduction as per section 195 of Income Tax Act\u00a0<\/p>\n\n\n\n<p>Uploading a form 15CA is mandatory for filing of PART C of form 15CA.<\/p>\n\n\n\n<p>All details in PART C of form 15CA, an acknowledgement number of e-verified form 15CA should be verified.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What is the need of 15CA and 15CB?&nbsp;<\/strong><\/h3>\n\n\n\n<p>Earlier, the person remitting to a non-resident was required to furnish a certificate in a specified format circulated by RBI.<\/p>\n\n\n\n<p>Since it is not possible to collect the tax from the non-resident once the amount is remitted so the basic purpose for this form was to collect the taxes at the very stage of remittance.<\/p>\n\n\n\n<p>Thus to monitor and track the transaction in an efficient manner, it was proposed to introduce e filing of information in these certificates.&nbsp;<\/p>\n\n\n\n<p>Section 195 of Income Tax Act 1961 the deduction of income tax for the payment made to a non-resident the person making the remittance to non-resident need to Foundation undertaking a company by an accountant certificate in form 15cb<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What details and documents are required in Form 15CA and 15CB?<\/strong><\/h3>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Details of Remitter<\/strong><ol><li>Name of Remitter<\/li><li>PAN<\/li><li>Address<\/li><li>Place of business<\/li><li>E-mail or Phone no.<\/li><li>Status (Firm\/company\/other)<\/li><li>Digital signature in Case of Form 15CA<\/li><\/ol><\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Details of Remittee<\/strong><ol><li>Name of Remittee<\/li><li>Status (Firm\/company\/other)<\/li><li>Address<\/li><li>Place of Business<\/li><li>Country of the remitter<\/li><\/ol><\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Details of Remittance<\/strong><ol><li>Currency<\/li><li>Country to whom the remittance is made<\/li><li>Proposed date of remittance<\/li><li>Nature of remittance<\/li><\/ol><\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Bank Details of the remitter<\/strong><ol><li>Name and bank of the remitter<\/li><li>BSR Code<\/li><li>Branch of Bank<\/li><\/ol><\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Document requirement for DTAA benefit<\/strong><ol><li>No permanent establishment declaration. This is compulsory if the income is a business income<\/li><li>Form 10F duly filled by the person authorized by the remitter<\/li><li>Tax residence certificate<\/li><\/ol><\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Taxability<\/strong><\/h3>\n\n\n\n<p><strong>According to section 5<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>income received or deemed to received&nbsp;<\/li><li>income accrue and arise in India<\/li><\/ul>\n\n\n\n<p><strong>According to Section 9<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Income is deemed to accrue and arise in India<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Nature of Income and its taxability<\/strong><\/h3>\n\n\n\n<p>Business Income- Taxable if the direct or indirect business connection in India or property or asset or source in India or transfer of a capital asset situated in India.<\/p>\n\n\n\n<p>Capital Gain- Taxable if Shares\/Property is situated in India or derives its value substantially from assets in India.<\/p>\n\n\n\n<p>Salary Income- If earned in India.<\/p>\n\n\n\n<p>Interest Income- If sourced in India (if the payer is Resident).<\/p>\n\n\n\n<p>Royalties- If incurred for business in India irrespective of the residential status of the payer.<\/p>\n\n\n\n<p>FTS- If incurred for business in India irrespective of the residential status of the payer.<\/p>\n\n\n\n<p>DTAA<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Exempt from Tax<\/li><li>Lower tax Rate&nbsp;<\/li><\/ul>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>About: According to Section 195 of Income Tax Act 1961, every person liable for making a payment to a non-resident shall deduct withholding tax from the payment made to a non-resident if such sum is chargeable to Income Tax and form 15CA and 15CB are the declarations for the same. A person making any remittance<\/p>\n<p><span class=\"more-wrapper\"><a class=\"more-link button\" href=\"https:\/\/vdtc.co.in\/?p=441\">Continue reading<\/a><\/span><\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-441","post","type-post","status-publish","format-standard","hentry","category-income-tax"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/vdtc.co.in\/index.php?rest_route=\/wp\/v2\/posts\/441"}],"collection":[{"href":"https:\/\/vdtc.co.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vdtc.co.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vdtc.co.in\/index.php?rest_route=\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vdtc.co.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=441"}],"version-history":[{"count":2,"href":"https:\/\/vdtc.co.in\/index.php?rest_route=\/wp\/v2\/posts\/441\/revisions"}],"predecessor-version":[{"id":443,"href":"https:\/\/vdtc.co.in\/index.php?rest_route=\/wp\/v2\/posts\/441\/revisions\/443"}],"wp:attachment":[{"href":"https:\/\/vdtc.co.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=441"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vdtc.co.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=441"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vdtc.co.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=441"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}