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Forms 15CA & 15CB changed again; no reporting of exempt income, no filing of form 15CB for certain payments

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Income-tax (14th Amendment) Rules, 2013 – Furnishing of information by the person responsible for making any payment including any interest or salary or any other sum chargeable to tax, to a non-resident, not being a company, or to a foreign company

NOTIFICATION NO. 67/2013, 

DATED 2-9-2013

In exercise of the powers conferred by sub-section (6) of section 195 and section 192, section 194B, section 194BB, section 194E, section 194LB, section 194LC, section 194LD, section 196B, section 196C, section 196D read with section 295 of the Income-tax Act, 1961 (43 of 1961) and in supersession of the notification of the Government of India in the Ministry of Finance, Department of Revenue, issued by the Central Board of Direct Taxes vide number S.O.2363(E) dated the 5th August, 2013 published in the Gazette of India, dated the 5th August, 2013, the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-

1. (1) These rules may be called the Income-tax (14th Amendment) Rules, 2013.

(2) They shall come into force on the 1st day of October, 2013.

2. In the Income-tax Rules, 1962 (hereafter referred to as the said rules), for rule 37BB, the following rule shall be substituted, namely:-

   “Furnishing of information by the person responsible for making any payment including any interest or salary or any other sum chargeable to tax, to a non-resident, not being a company, or to a foreign company

37BB. (1) 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 provisions of the Act, shall furnish the following, namely:-

(i) the information in Part A of Form No.15CA, if the amount of payment does not exceed fifty thousand rupees and the aggregate of such payments made during the financial year does not exceed two lakh fifty thousand rupees;

(ii) the information in Part B of Form No.15CA for payments other than the payments referred in clause (i) after obtaining-

(a) a certificate in Form No.15CB from an accountant as defined in the Explanation below sub-section (2) of section 288; or

(b) a certificate from the Assessing Officer under section 197; or

(c) an order from the Assessing Officer under sub-section (2) or sub-section (3) of section 195.

(2) The information in Form No. 15CA shall be furnished by the person electronically to the website designated by the Income-tax Department and thereafter signed printout of the said form shall be submitted to the authorised dealer, prior to remitting the payment.

(3) An income-tax authority may require the authorised dealer to furnish the signed printout referred to in sub-rule (2) for the purposes of any proceedings under the Act.

(4) The Director General of Income-tax (Systems) shall specify the procedures, formats and standards for ensuring secure capture, transmission of data and shall also be responsible for the day-to-day administration in relation to furnishing the information in the manner specified.

Explanation 1.- For the purposes of this rule, ‘authorised dealer’ means a person authorised as an authorised dealer under sub-section (1) of section 10 of the Foreign Exchange Management Act, 1999 (42 of 1999).

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).

SPECIFIED LIST

Sl. No.
(1)

Purpose code as per RBI
(2)

Nature of payment
(3)

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.)
15 S0401 Postal services
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 S1202 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”.

3. In the said rules, in Appendix-II, for Form No.15CA and Form No.15CB, the following Forms shall be substituted, namely:-

Income-Tax
Department

“FORM NO.15CA
(See rule 37BB)
Information to be furnished for payments, chargeable to tax, to a non-resident not being a company, or to a foreign company

Ack. No.

Part A

(To be filled up if the remittance is chargeable to tax and does not exceed fifty thousand rupees and the aggregate of
such remittances made during the financial year does not exceed two lakh fifty thousand rupees)

REMITTER Name of Remitter
PAN of the remitter (if available)
TAN of the remitter (if available)
Complete address, email and phone number of the remitter
Status of remitter
REMITTEE Name of recipient of remittance
PAN of the recipient of remittance, if available
Complete address, email and phone number of the recipient of remittance
Country to which remittance is made
REMITTANCE Amount payable before TDS (In Indian Currency)
Aggregate amount of remittance made during the financial year including this proposed remittance
Name of bank
Name of the branch of the bank
Proposed date of remittance
Nature of remittance
Tax deducted –(a) Amount of tax deducted
(b) Date of deduction

VERIFICATION

I/We*, ____________________ (full name in block letters), son/daughter of ______________ in the capacity of __________ (designation) solemnly declare that the information given above is true to the best of my knowledge and belief and no relevant information has been concealed. I/We* further undertake to submit the requisite documents for enabling the income-tax authorities to determine the nature and amount of income of the recipient of the above remittance as well as documents required for determining my liability under the Income-tax Act as a person responsible for deduction of tax at source.

Place
Date
Signature:
Designation:

* Delete whichever is riot applicable.

1. Write 1 if company, write 2 if firm, write 3 if individual and write 4 if others.

2. If the remittance is chargeable to tax, non-furnishing of PAN shall attract the provisions of section 206AA

3. If available

4. If available

Part B

(To be filled up if the remittance is chargeable to tax and exceeds fifty thousand rupees and the aggregate of such remittances made during the financial year exceeds two lakh fifty thousand rupees.)

15CA Part B

15CA Part b section 2

VERIFICATION

1. I/We*, ____________________ (full name in block letters), son/daughter of ________________ in the capacity of _______________ (designation) solemnly declare that the information given above is true to the best of my/our* knowledge and belief and no relevant information has been concealed.

2. I/We* certify that a certificate has been obtained from an accountant, particulars of which are given in this Form, certifying the amount, nature and correctness of deduction of tax at source./I/We* certify that certificate/order under section 195(2)/195(3)/197 of the Income-tax Act, 1961, particulars of which are given in this Form*.

3. In case where it is found that the tax actually deductible on the amount of remittance has not been deducted or after deduction has not been paid or not paid in full, I/We* undertake to pay the amount of tax not deducted or not paid, as the case may be along with interest due. I/We* shall also be subject to the provisions of penalty for the said default as per the provisions of the Income-tax Act, 1961.

4. I/We* further undertake to submit the requisite documents for enabling the Income-tax Authorities to determine the nature and amount of income of the recipient of the above remittance as well as documents required for determining my/our liability under the Income-tax Act, 1961 as a person responsible for deduction of tax at source.

5. I/We* further declare that I/we* am/are* furnishing this information in my/our* capacity as and I/we* am/are* also competent to sign the return of income as per provisions of section 140 of the Income-tax Act, 1961 and verify it.

Place
Date
Signature:
Designation:

* Delete whichever is not applicable.

For Office Use Only For Office Use OnlyReceipt No.DateSeal and Signature of Receiving Official

i. In case TAN is applied for, please furnish acknowledgement number of the application.
ii. Write 1 if company, Write 2 if firm, Write 3 if individual and Write 4 if others.
iii In case of non-availability of PAN, provisions of section 206AA shall be applicable.
iv Write 1 if company, Write 2 if firm, Write 3 if individual and Write 4 if others.
v Accountant (other than an employee) shall have the same meaning as defined in the Explanation to Section 288 of Income-tax Act, 1961.
vi Please fill the serial number as mentioned in the certificate of the accountant

Form No. 15CB

 

form15cb2

1. To be signed and verified by an accountant (other than an employee) as defined in the Explanation below
sub-section (2) of section 288 of the Income-tax Act, 1961.
2. Certificate number is an internal number to be given by the Accountant.
* Delete whichever is not applicable.”.

F.No.149/119/2012-SO(TPL)

(J. Saravanan)
Under Secretary of the Government of India

Note: The principal rules were published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii) vide notification number S.O. 969(E), dated the 26th March, 1962 and last amended by the Income-tax (13th Amendment) Rules, 2013, vide notification number S.O.2364(E), dated the 05.08.2013.


5 Responses to “Forms 15CA & 15CB changed again; no reporting of exempt income, no filing of form 15CB for certain payments”

  1. vineet pathak says:

    In 15CA when then Salary is payable to Non-resident employee, then which option is to be select in “Nature of Remittance as per agreement / document” PART B of Section B in Form 15CA?

  2. Bhavesh says:

    I have gone through the Income Tax efiling website which provides the utility tab for uploading form 15CA. In relation to the same I observed that, they have asked for the assessment year for which form 15CA is to be uploaded, wherein they have given only two Assessment year i.e. A.Y. 2012-13 and 2013-14, whereas I understand that currently all remittances will be for A.Y. 2014-15 only. I think department should consider this point and rectify this as early as possible.

  3. Amit says:

    Hello

    Does this mean Form 15CA and 15CB is requried for making payment of import of goods?

    has one of the Bank has asked for Form 15CA and 15CB for even making payment for import of goods.

    Need some clarification and information on it.. hoping if someone can give some information.

  4. Ca Sanjay Jain says:

    The rules have been changed without implementing as earlier notified on 5.8.13. Still a lot of deficiencies are there.
    1. No reporting is required in case of exempt income, but this is the important aspect of payment to be certified by the professional. This should not have been left out .It would have been better if all payments not under specified list were covered under 15CB reporting.
    2. Form 15CB could have been drafted in a better way avoiding repetition regarding nature of payment .
    3. There is no reference of Form 10F for Residence of beneficiary only TRC is mentioned
    4. Gross amont , TDS and Net amount should have been at same place. they are scattered
    5. Mode of computation of grossing up has been deleted.

  5. Priya Patodia says:

    Article is Informative and cleared the the changes which has been done.

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