15CA-15CB Filing Services

Q: What is Form 15CA and who must file it?

Form 15CA is a declaration filed by the remitter on the income tax portal certifying TDS compliance before a foreign payment is made. Required for all taxable foreign remittances unless the payment falls in one of 33 exempt categories under Rule 37BB.

Q: What is Form 15CB and when is it required?

Form 15CB is a CA certificate confirming the nature of payment, applicable DTAA provisions, TDS rate, and amount deducted. Required when remittance is taxable in India and exceeds ₹5 lakh in the year. CA uploads it; remitter files Form 15CA Part C referencing the certificate number.

Q: What are the payments exempt from 15CA-15CB under Rule 37BB?

33 exempt categories include: import payments, travel (air/hotel), educational fees, medical treatment abroad, freight payments, journal subscriptions, salary for services outside India, and payments under RBI general or specific permission.

Q: What TDS rate applies to fees for technical services paid to a foreign company?

Domestic rate: 10% under Section 115A (effective ~10.92-11.96%). DTAA FTS articles typically limit to 10-15% gross. DTAA rate applies with valid TRC and Form 10F. If no FTS article in DTAA (e.g., India-USA), the domestic Section 115A rate applies.

Q: What happens if 15CA-15CB is not filed before a foreign remittance?

Penalty of ₹1 lakh under Section 271-I for non-furnishing of Form 15CA. If TDS was not correctly deducted, the remitter is treated as assessee-in-default under Section 201 with TDS demand, Section 201(1A) interest, and Section 271C penalty.

Mandatory Compliance for Foreign Remittances — Form 15CA Declaration and Form 15CB Certificate from a Chartered Accountant

When an Indian entity or individual makes a payment to a non-resident or foreign company, the Income Tax Act requires compliance under Section 195 — including the filing of Form 15CA (a declaration by the remitter) and, in many cases, Form 15CB (a certificate from a Chartered Accountant confirming the nature, taxability, and TDS details of the payment). These forms must be submitted to the income tax portal before the remittance is made and the bank will require them before processing the foreign transfer.

The 15CA-15CB process requires careful determination of the nature of the payment, applicable DTAA provisions, correct TDS rate, and whether the payment falls in an exempt category. Errors can result in incorrect TDS, penalties, and withholding complications. Our 15CA-15CB filing service covers the complete analysis and filing cycle. This connects with our TRC services, expatriate taxation, and business tax filing services for comprehensive cross-border tax compliance.

Our 15CA-15CB Filing Services

Payment Nature Analysis

Determining the nature of the foreign payment — royalty, interest, dividend, fees for technical services, salary, or other income — and classifying it under the correct head for TDS and DTAA analysis.

TDS Rate Determination

Determining the applicable TDS rate — domestic rate or lower DTAA rate — based on the nature of payment, the recipient's country of residence, TRC availability, Form 10F filing status, and PE analysis.

Form 15CB Certification

Preparation and certification of Form 15CB by a Chartered Accountant — confirming the nature of the payment, applicable tax provisions, TDS rate, and amounts deducted — uploaded on the income tax portal before remittance.

Form 15CA Filing

Filing of Form 15CA (Parts A, B, C, or D as applicable) on the income tax portal by the remitter — based on the nature of the payment and the availability of the Form 15CB certificate from the CA.

Exempt Payment Advisory

Advising on payments exempt from 15CA-15CB requirements under Rule 37BB — covering 33 specified categories including imports, travel expenses, freight, and medical expenses — to avoid unnecessary compliance where not required.

Bank Submission Support

Providing the complete set of documents — Form 15CA, Form 15CB, and supporting documents — to the bank's authorised dealer in the format required for processing the SWIFT remittance.

Key Facts About 15CA-15CB Compliance

Form 15CA and 15CB must be filed before the remittance is made — the bank will not process the payment without them
Form 15CB is required only where the remittance is taxable in India and exceeds ₹5 lakh in a financial year
Only Form 15CA (Part A) is required where the remittance does not exceed ₹5 lakh in the financial year
28 categories of payments are fully exempt from both 15CA and 15CB — including imports, travel, subscriptions, and education expenses
An order under Section 195(2) or 195(3) from the assessing officer can also replace the need for Form 15CB in specific cases
TDS must be deducted at the time of payment or credit, whichever is earlier — and deposited by the 7th of the following month
Failure to file 15CA or 15CB attracts a penalty of ₹1 lakh under Section 271-I

Frequently Asked Questions

What is Form 15CA and who must file it?

Form 15CA is a declaration filed by the person making a foreign remittance on the income tax portal. It certifies that the appropriate TDS has been deducted (or that the remittance is not taxable in India) before the payment is made. It must be filed for all taxable foreign remittances unless the payment falls in one of the 33 specified exempt categories under Rule 37BB. The form has four parts (A, B, C, D) — the appropriate part depends on the nature and amount of the payment.

What is Form 15CB and when is it required?

Form 15CB is a certificate issued by a practising Chartered Accountant confirming the nature of the payment, the applicable income tax provisions and DTAA articles, the TDS rate applied, the amount of tax deducted, and other details required by the remitter's bank. It is required where the remittance is taxable in India and exceeds ₹5 lakh in the financial year. The CA must upload Form 15CB on the income tax portal, after which the remitter can file Form 15CA (Part C) referencing the certificate number.

What are the payments exempt from 15CA-15CB under Rule 37BB?

Rule 37BB specifies 33 categories of payments exempt from 15CA-15CB requirements. These include: payment for imports of goods; travel expenses (air tickets, hotel); subscription to journals; tuition and examination fees paid to educational institutions; medical treatment abroad; freight payments for shipping and air cargo; salary paid to non-resident employees for services rendered outside India; and payments covered under an RBI general or specific permission. For each remittance, it is advisable to verify whether the exempt category applies before concluding that 15CA-15CB is not required.

What TDS rate applies to fees for technical services paid to a foreign company?

Under domestic law, fees for technical services (FTS) paid to a non-resident are taxable at 10% (plus surcharge and cess, effective ~10.92% to 11.96%) under Section 115A. Under most DTAAs, the FTS article limits taxation to 10% or 15% of gross fees. The beneficial rate — domestic or DTAA — applies provided the recipient furnishes a valid TRC and Form 10F. Where the DTAA does not contain an FTS article (e.g., the India-USA treaty), the domestic rate of 10% under Section 115A typically applies.

What happens if 15CA-15CB is not filed before a foreign remittance?

Filing 15CA and 15CB after remittance is a violation of Section 195 read with Rule 37BB. The authorised dealer (bank) is also liable for permitting the remittance without the required forms. The remitter faces a penalty of ₹1 lakh under Section 271-I for non-furnishing of Form 15CA. Additionally, if TDS was not correctly deducted on a taxable remittance, the remitter is treated as an assessee-in-default under Section 201 and is liable for TDS, interest under Section 201(1A), and penalty under Section 271C.

Foreign Remittances — Filed Correctly Before Every Transfer

15CA filing, 15CB certification, TDS determination, and DTAA analysis for all foreign payments.