Provide for Reconciliation of Foreign Currency Remittances with Form No. 15CA: ICAI

Issue/Justification

All the foreign currency remittances/payments are required to be reconciled with details provided in Form No. 15CA. RBI report 2012-13 provides that the foreign currency remittances for imports (all types of imports– goods and services) is more than 5,00,000 million dollars i.e. more than Rs. 3,00 Lakhs million Rupees

Suggestion

Out of the said amount, even if 1/3rd remittance is liable for tax @ 1%, government should have received Rs. 1,00,000 Lakh crore by way of TDS on foreign currency remittance. It is thus suggested that all the foreign currency remittances/ payments are required to be reconciled with details provided in Form No. 15CA.

Source-  ICAI Pre- Budget Memorandum–2018 (Direct Taxes and International Tax)