Income Tax Forms 15CA and 15CB

Introduction

Understanding Forms 15CA and 15CB is essential for anyone making payments to non-residents under the Indian Income Tax Act. These forms help ensure that the correct tax is deducted at source and properly remitted to the government.

Before initiating any foreign remittance, the payer must submit Form 15CA, an online declaration of the remittance details. This is followed by Form 15CB, which is issued by a Practicing Chartered Accountant to certify the accuracy of the payment information and confirm that the applicable tax provisions have been correctly applied.

In this article, we provide a comprehensive guide to Forms 15CA and 15CB, highlighting their purpose, significance, and the step-by-step process for filing them.

For seamless compliance and expert support, AURIGA ACCOUNTING offers end-to-end assistance with preparing and filing Forms 15CA and 15CB, ensuring your international remittances are accurate and hassle-free.

Form 15CA

Form 15CA is a mandatory declaration that must be filed with the Income Tax Department whenever a resident makes a payment to a non-resident. It requires the payer to disclose all relevant information about the remittance in accordance with the Income Tax Act. This helps the department track foreign remittances, assess their taxability, and ensure that non-residents can claim credit for taxes deducted in India.

The filing process is entirely online through the Income Tax Department’s e-filing portal.

Objective

Form 15CA enables Indian tax authorities to monitor outbound remittances and ensure compliance with tax laws. It acts as a checkpoint to verify whether tax obligations relating to payments made to non-residents have been fulfilled.

Types of Payments Covered

Form 15CA applies to a wide range of payments made to non-residents, including:

Royalty
Interest
Dividends
Salary
Fees for technical, professional, or consultancy services
Any other taxable payments from an Indian source

Applicability

Form 15CA must be filed for any payment made to a non-resident or foreign company, regardless of the tax deducted status. As per Section 5 of the Income Tax Act, it is required whenever income is deemed to accrue, arise, or be received in India.

Parts of Form 15CA

Part A: For taxable remittances up to ₹5 lakh in a financial year
Part B: For taxable remittances above ₹5 lakh when an Assessing Officer’s certificate/order (Sections 195(2), 195(3), 197) is available
Part C: For taxable remittances above ₹5 lakh, accompanied by Form 15CB from a Chartered Accountant
Part D: For remittances not chargeable to tax under the Income Tax Act

When Is Form 15CA Not Required?

Rule 37BB: If the remittance is covered under the exempt list provided in Rule 37BB
FEMA compliance: When RBI approval is not required for the remittance under FEMA, 1999

Form 15CB

Form 15CB is a certificate issued by a Practicing Chartered Accountant confirming that the remittance to a non-resident complies with the Income Tax Act and applicable double taxation treaties. It includes payment details, applicable tax rates, TDS provisions, and DTAA applicability. This certificate must be obtained before submitting certain parts of Form 15CA.

Objective

Form 15CB validates that the remittance has been reviewed by a CA and complies with the Income Tax Act and DTAA provisions. It helps avoid future tax disputes or penalties by ensuring proper tax treatment before the remittance is made.

Applicability

Form 15CB is required when:

The remittance is taxable
The amount exceeds ₹5 lakh in a financial year
No order/certificate from the Assessing Officer is available
A CA’s certification is needed to verify tax calculations

Elements of Form 15CB

Part A: Basic details of remitter, remittee, and nature of payment
Part B: CA’s confirmation of tax compliance under DTAA and the Income Tax Act
Part C: CA’s certification of correctness and completeness
Annexure: Optional section for additional supporting documents

When Is Form 15CB Not Required?

Non-taxable payments
Payments taxed only in the recipient country
Remittances below ₹5 lakh (only Part A of Form 15CA required)
Payments within RBI’s prescribed limits
Educational or personal remittances within RBI limits
When AO certificates under Sections 195(2), 195(3), or 197 are obtained

Difference Between Form 15CA and Form 15CB

Difference	Form 15CA	Form 15CB
Requirement	Mandatory for all foreign remittances	Required only when remittance exceeds ₹5 lakh and is taxable
Who Prepares It	Remitter (payer)	Practicing Chartered Accountant
Purpose	Declaration of tax deduction details	Certification of tax compliance
Dependency	Submitted by remitter; may require 15CB	Requires details submitted in Form 15CA
Function	Tracking foreign remittances	Verifying tax correctness

Documents Required for Forms 15CA & 15CB

1. Remitter Details

PAN
Name, address, email ID
Bank details
Digital signature

2. Remittance Details

Destination country
Currency and amount
Nature and purpose of remittance
Date of remittance

3. Remittee (Recipient) Details

Name, address, contact details
Bank information
Country of residence

4. Additional Documents

Form 10F
Tax Residency Certificate (TRC)
Declaration on permanent establishment
Form 15CB (CA certificate)

Procedure for Filing Form 15CA and 15CB

Step 1: Filing Form 15CB (by CA)
Provide all required documents to your CA
CA prepares Form 15CB using the e-filing utility
CA submits Form 15CB through their Income Tax portal login
Step 2: Filing Form 15CA
Log in to the Income Tax e-filing portal
Go to e-File → Income Tax Forms
Select Form 15CA
Choose the appropriate part (A, B, C, or D)
Enter details and attach required documents
Verify and submit the form
You will receive an acknowledgement and confirmation email after successful submission.

About the Author

Ravi

Ravi is a seasoned legal writer who turns complex laws into clear, practical guidance. He helps entrepreneurs understand their legal responsibilities, empowering them to build compliant and sustainable businesses with confidence.