The document discusses the requirements and procedures for filing Form 15CA and Form 15CB for making payments to non-residents in India.
Form 15CA is a declaration that must be filed by the remitter along with a certificate from a chartered accountant in Form 15CB when making remittances exceeding Rs. 50,000 or an aggregate of over Rs. 2,50,000 in a year. Form 15CA captures details of the remitter, recipient and remittance amount, while Form 15CB contains the chartered accountant's determination of taxability.
Specific information to be provided in each form is outlined, including the remitter and recipient's identification details, bank transfer information
This document discusses Form 15 CB/15 CA and provides guidance on properly completing and using these forms.
It begins by outlining the target audience for the discussion, which includes professionals looking to start or expand their practice in this area as well as those without much experience.
The presentation then covers the key takeaways, which are understanding the objective and importance of Form 15 CB and 15 CA, the procedures and processes for implementation, how to determine the nature of remittances, understanding chargeability under the Income Tax Act and DTAAs, and how to protect one's own and client's interests.
It emphasizes the growing importance of Form 15 CA/CB due to increased cross-border payments, revenue
This document discusses various aspects of section 195 of the Indian Income Tax Act, which deals with tax deducted at source (TDS) for payments made to non-residents. Some key points discussed include:
- Section 195 mandates any person making payments such as interest, royalty or fees for technical services to non-residents to deduct TDS at the time of payment.
- The rate of TDS depends on factors such as whether a lower treaty rate can be applied based on a tax residency certificate.
- Non-compliance can attract penalties for the payer such as interest, fines and in some cases prosecution.
- Exceptions apply when a lower or nil withholding certificate is obtained
This document provides information on TDS requirements for foreign remittances under Indian law. It notes that TDS must be deducted on payments to non-residents according to section 195 of the Income Tax Act. Form 15CA must be filed for remittances over Rs. 50,000 or Rs. 2.5 lakhs annually along with Form 15CB from a chartered accountant. The proper procedure for deducting and depositing TDS is outlined. Implications of sections 195, 206AA, and tax treaties are discussed. The importance of obtaining a tax residency certificate for claiming treaty benefits is also explained.
This document summarizes tax deduction at source requirements in India. It states that any person responsible for making income payments covered by the tax scheme must deduct tax at prescribed rates and deposit the amounts by the 7th of the following month. It also outlines requirements for obtaining a TAN number, issuing TDS certificates, submitting quarterly statements, and penalties for non-compliance. Various sections are cited that specify TDS rates for different types of payments like salary, rent, interest, dividends, and commission.
360 degree analysis of block credit in relation to vehicle , vessels and aircraft includes amendment which are effective from 01.02.2019 in their relation
OBJECTIVE
Goods and Services Tax (GST) is an Indirect Tax levied in India introduced in July, 2017 which was one of the most important reforms in the Indian Economy. Timely refund mechanism is essential in tax administration, as it facilitates trade through the release of blocked funds for working capital, expansion and modernisation of existing business. In this webinar, we shall be learning the procedural aspects of refund under GST law.
This document discusses Form 15 CB/15 CA and provides guidance on properly completing and using these forms.
It begins by outlining the target audience for the discussion, which includes professionals looking to start or expand their practice in this area as well as those without much experience.
The presentation then covers the key takeaways, which are understanding the objective and importance of Form 15 CB and 15 CA, the procedures and processes for implementation, how to determine the nature of remittances, understanding chargeability under the Income Tax Act and DTAAs, and how to protect one's own and client's interests.
It emphasizes the growing importance of Form 15 CA/CB due to increased cross-border payments, revenue
This document discusses various aspects of section 195 of the Indian Income Tax Act, which deals with tax deducted at source (TDS) for payments made to non-residents. Some key points discussed include:
- Section 195 mandates any person making payments such as interest, royalty or fees for technical services to non-residents to deduct TDS at the time of payment.
- The rate of TDS depends on factors such as whether a lower treaty rate can be applied based on a tax residency certificate.
- Non-compliance can attract penalties for the payer such as interest, fines and in some cases prosecution.
- Exceptions apply when a lower or nil withholding certificate is obtained
This document provides information on TDS requirements for foreign remittances under Indian law. It notes that TDS must be deducted on payments to non-residents according to section 195 of the Income Tax Act. Form 15CA must be filed for remittances over Rs. 50,000 or Rs. 2.5 lakhs annually along with Form 15CB from a chartered accountant. The proper procedure for deducting and depositing TDS is outlined. Implications of sections 195, 206AA, and tax treaties are discussed. The importance of obtaining a tax residency certificate for claiming treaty benefits is also explained.
This document summarizes tax deduction at source requirements in India. It states that any person responsible for making income payments covered by the tax scheme must deduct tax at prescribed rates and deposit the amounts by the 7th of the following month. It also outlines requirements for obtaining a TAN number, issuing TDS certificates, submitting quarterly statements, and penalties for non-compliance. Various sections are cited that specify TDS rates for different types of payments like salary, rent, interest, dividends, and commission.
360 degree analysis of block credit in relation to vehicle , vessels and aircraft includes amendment which are effective from 01.02.2019 in their relation
OBJECTIVE
Goods and Services Tax (GST) is an Indirect Tax levied in India introduced in July, 2017 which was one of the most important reforms in the Indian Economy. Timely refund mechanism is essential in tax administration, as it facilitates trade through the release of blocked funds for working capital, expansion and modernisation of existing business. In this webinar, we shall be learning the procedural aspects of refund under GST law.
This document provides an overview of Tax Deduction at Source (TDS) in India. TDS refers to tax deducted at the source of income by the payer from amounts paid to the recipient. The key points covered are:
- TDS is an advance tax paid to the government and the tax deducted has to be deposited within a specified time.
- Employers, government bodies, companies, banks, and other specified entities are responsible for deducting TDS based on the type of payment and thresholds.
- Various sections of the Income Tax Act specify the rates of TDS to be applied on different types of income such as salaries, interest, rent, professional fees, lottery winnings
Cross Border Payment- India and New 15CA/15CB RequirementsStuti Shah
The document discusses requirements for deducting tax at source on cross border payments to non-residents. It covers topics like chargeability to tax under section 195, scope of income as per sections 5(2) and 9(1), rate of withholding tax determined by section 90(2) and tax residency certificates under section 90(4). It also explains the new requirements introduced by notification 93/2015 for furnishing information in Form 15CA and obtaining an accountant certificate in Form 15CB for certain payments to non-residents.
The document provides information on input tax credit under GST in India. It defines key terms like input tax, input service, capital goods, output tax, inward and outward supplies. It explains the process of availing and utilizing input tax credit and conditions that must be met like having a valid tax invoice and the supplier depositing the taxes. Certain items are ineligible for input tax credit like motor vehicles, food and beverages, life and health insurance, and works contract services for construction of immovable property. The time limit to claim input tax credit is within one year from the invoice date or the due date of filing annual return, whichever is earlier.
Tds Presentation as per Finance Act, 2014Manu Katare
1) TDS refers to the deduction of tax at source on certain specified payments. Key provisions around TDS are covered under Chapter XVII-B of the Income Tax Act, 1961.
2) The document outlines various sections related to TDS such as 192 on salaries, 194 on dividends, 194A on interest, 194C on payments to contractors, and exceptions to these sections.
3) It also discusses the rates of TDS to be applied based on the nature of the deductee, including the applicability of surcharge and education cess in case of companies, foreign companies, and non-residents.
this presentation consists of the information abou TDS ans TCS and their implications under GST. It also includes the differnce between both the terms.
GST is nothing but a value added tax on goods & services combined. It is the provisions of Input Tax Credit that make GST a value added tax i.e collection of tax at all points after allowing credit for the inputs
Find out the detailed explanation of the provisions relating to Input Tax Credit under the dual GST Law from the presentation . Give it a read and we would love to know your feedback!
Detailed discussion on introduction of Equalisation Levy in India, relevant considerations, EQ Levy 2.0 (on NR E-commerce operator), some unresolved issues, interplay between EQ Levy 2.0 and TDS on e-commerce business u/s 194-O has been captured here making it a comprehensive deck for e-commerce players.
This document summarizes the new TDS and TCS provisions introduced under sections 194Q and 206C(1H) respectively. It provides details on who is required to deduct/collect (entities with turnover over Rs. 10 crores), calculation of amount (0.1% of transaction value excluding/including GST), due dates of payment and return filing (monthly and quarterly), and exceptions when TDS/TCS is not applicable. It also discusses section 206AB which provides for higher rate of TDS (twice the specified rate or 5%) in case of non-filers of return.
The PPT about GSTR-1 , How to filling GSTRR-1 Step by Step all Details here by CA Sanjiv Nanda. .
Mostly people is confused how to file GSTR-1 so this PPT help That people .
The document discusses India's Goods and Services Tax (GST) policies and regulations related to input tax credit. Key points include:
- Under GST, input tax credit is available for goods, services, and capital goods used in the course of business. This is a significant expansion of credit compared to earlier tax systems.
- Credit can be claimed by registered businesses against central GST, state GST, integrated GST, and Union territory tax paid on business purchases.
- Certain documents like tax invoices and bills of entry must be possessed, and payment must be made to the supplier within 180 days, for credit to be claimed.
- There are also time limits, apportionment and reversal
1. presentation on input tax credit under gstNarayan Lodha
GST, Goods And Service Tax, Basic Concept and Principals of Input Credit under GST, Availability of ITC in Special cases, ITC- Input Service Distributor, Electronic Cash Ledger, Electronic Credit Ledger, Refund of Tax under GST
This document provides an overview of input tax credit (ITC) under the Goods and Services Tax (GST) regime in India. It defines key terms related to ITC such as input, capital goods, input tax, output tax, and reverse charge. It outlines the conditions for claiming ITC and lists items for which ITC is ineligible. It also discusses proportionate credit, adjustments to ITC, transition provisions for claiming ITC on stock, and the process for claiming ITC on inter-state and intra-state supplies.
The document discusses the key provisions related to Input Tax Credit (ITC) under the GST law in India. It begins by defining ITC and input tax. It then outlines some of the major ITC provisions under the Central GST Act and rules, including those relating to eligibility for ITC, documentation requirements, blocked credits, and time limits. Specific provisions covered in more detail include Section 16 on eligibility and conditions for ITC, Section 17 on apportionment of credit and blocked credits, and restrictions on ITC for works contracts and construction of immovable property. The document provides an overview of the major ITC concepts and sections under the GST law.
The document summarizes various exemptions from GST in India, including:
1. Certain goods like live animals, meat, fish, vegetables and fruits are exempt from GST. Common items like sugar, drugs, fertilizers and national flags are also exempt.
2. Many essential services are exempt, including health care, education services up to higher secondary level, religious ceremonies, charitable activities, and pension schemes.
3. Agriculture-related services like warehousing of farm goods, fumigation, crop services and transport are exempt from GST.
4. The government has power to grant exemptions from GST if deemed necessary for public interest.
The document discusses various provisions related to tax deducted at source (TDS) in India. It explains the objectives of TDS which include helping report correct incomes, check tax evasion, and widen the tax net. It discusses key sections like 192 on payment of salaries, 193 on interest on securities, 194 on dividends, 194A on interest other than interest on securities, and common provisions around rate of TDS, threshold limits for deduction, and procedures.
The document provides information about e-way bills in India. It discusses the objective and need for e-way bills, provisions under law, the e-way bill generation process which involves filling Part A and Part B, validity periods, extensions, cancellations, exceptions and verification process. E-way bills are required for inter-state movement of goods of over Rs. 50,000 in value and aim to facilitate seamless movement of goods and prevent tax evasion. Registered persons need to generate e-way bills on the common portal prior to movement of goods, listing key details of the consignment, supplier and recipient.
Key Takeaways
Analysis of definitions in Income tax act and treaties
Taxability under the act and treaties
IRoyalty vs. Business income
Illustrative Cases
Judicial Precedents
This document provides an overview of registration under the Goods and Services Tax (GST) in India. It outlines who is required to register based on turnover thresholds, the registration process and forms, amendments to registration, cancellation of registration, and other key details. The registration number structure is also explained. Registration is mandatory for specified persons and businesses above the turnover limit to pay tax and comply with GST regulations.
The presentation discusses the key provisions and procedures related to Tax Deducted at Source (TDS) in India. It explains that TDS is a form of advance tax collection where the onus is on the payer to deduct tax and deposit it with the government. It outlines the TDS process flow and key sections related to TDS for salaries, interest, rent, professional fees, and other payments. It provides thresholds limits for deducting TDS and due dates for payment. The presentation emphasizes best practices for TDS compliance to avoid penalties.
TDS stands for Tax Deduction at Source. It is a mechanism for collecting income tax in India whereby the tax is deducted at source from payments like salary, interest, rent, etc. at the time of payment/credit. The payer has to deduct tax as per rates specified in the Income Tax Act 1961 from the payments, deposit the deducted tax with the government, file quarterly TDS returns, and issue annual TDS certificates to the payee. The payee can then claim credit for the TDS while filing their income tax return. The document outlines the basics of TDS, rates of deduction for different types of payments, due dates for depositing deducted taxes, filing returns and issuing certificates
This document provides an overview of Tax Deduction at Source (TDS) in India. TDS refers to tax deducted at the source of income by the payer from amounts paid to the recipient. The key points covered are:
- TDS is an advance tax paid to the government and the tax deducted has to be deposited within a specified time.
- Employers, government bodies, companies, banks, and other specified entities are responsible for deducting TDS based on the type of payment and thresholds.
- Various sections of the Income Tax Act specify the rates of TDS to be applied on different types of income such as salaries, interest, rent, professional fees, lottery winnings
Cross Border Payment- India and New 15CA/15CB RequirementsStuti Shah
The document discusses requirements for deducting tax at source on cross border payments to non-residents. It covers topics like chargeability to tax under section 195, scope of income as per sections 5(2) and 9(1), rate of withholding tax determined by section 90(2) and tax residency certificates under section 90(4). It also explains the new requirements introduced by notification 93/2015 for furnishing information in Form 15CA and obtaining an accountant certificate in Form 15CB for certain payments to non-residents.
The document provides information on input tax credit under GST in India. It defines key terms like input tax, input service, capital goods, output tax, inward and outward supplies. It explains the process of availing and utilizing input tax credit and conditions that must be met like having a valid tax invoice and the supplier depositing the taxes. Certain items are ineligible for input tax credit like motor vehicles, food and beverages, life and health insurance, and works contract services for construction of immovable property. The time limit to claim input tax credit is within one year from the invoice date or the due date of filing annual return, whichever is earlier.
Tds Presentation as per Finance Act, 2014Manu Katare
1) TDS refers to the deduction of tax at source on certain specified payments. Key provisions around TDS are covered under Chapter XVII-B of the Income Tax Act, 1961.
2) The document outlines various sections related to TDS such as 192 on salaries, 194 on dividends, 194A on interest, 194C on payments to contractors, and exceptions to these sections.
3) It also discusses the rates of TDS to be applied based on the nature of the deductee, including the applicability of surcharge and education cess in case of companies, foreign companies, and non-residents.
this presentation consists of the information abou TDS ans TCS and their implications under GST. It also includes the differnce between both the terms.
GST is nothing but a value added tax on goods & services combined. It is the provisions of Input Tax Credit that make GST a value added tax i.e collection of tax at all points after allowing credit for the inputs
Find out the detailed explanation of the provisions relating to Input Tax Credit under the dual GST Law from the presentation . Give it a read and we would love to know your feedback!
Detailed discussion on introduction of Equalisation Levy in India, relevant considerations, EQ Levy 2.0 (on NR E-commerce operator), some unresolved issues, interplay between EQ Levy 2.0 and TDS on e-commerce business u/s 194-O has been captured here making it a comprehensive deck for e-commerce players.
This document summarizes the new TDS and TCS provisions introduced under sections 194Q and 206C(1H) respectively. It provides details on who is required to deduct/collect (entities with turnover over Rs. 10 crores), calculation of amount (0.1% of transaction value excluding/including GST), due dates of payment and return filing (monthly and quarterly), and exceptions when TDS/TCS is not applicable. It also discusses section 206AB which provides for higher rate of TDS (twice the specified rate or 5%) in case of non-filers of return.
The PPT about GSTR-1 , How to filling GSTRR-1 Step by Step all Details here by CA Sanjiv Nanda. .
Mostly people is confused how to file GSTR-1 so this PPT help That people .
The document discusses India's Goods and Services Tax (GST) policies and regulations related to input tax credit. Key points include:
- Under GST, input tax credit is available for goods, services, and capital goods used in the course of business. This is a significant expansion of credit compared to earlier tax systems.
- Credit can be claimed by registered businesses against central GST, state GST, integrated GST, and Union territory tax paid on business purchases.
- Certain documents like tax invoices and bills of entry must be possessed, and payment must be made to the supplier within 180 days, for credit to be claimed.
- There are also time limits, apportionment and reversal
1. presentation on input tax credit under gstNarayan Lodha
GST, Goods And Service Tax, Basic Concept and Principals of Input Credit under GST, Availability of ITC in Special cases, ITC- Input Service Distributor, Electronic Cash Ledger, Electronic Credit Ledger, Refund of Tax under GST
This document provides an overview of input tax credit (ITC) under the Goods and Services Tax (GST) regime in India. It defines key terms related to ITC such as input, capital goods, input tax, output tax, and reverse charge. It outlines the conditions for claiming ITC and lists items for which ITC is ineligible. It also discusses proportionate credit, adjustments to ITC, transition provisions for claiming ITC on stock, and the process for claiming ITC on inter-state and intra-state supplies.
The document discusses the key provisions related to Input Tax Credit (ITC) under the GST law in India. It begins by defining ITC and input tax. It then outlines some of the major ITC provisions under the Central GST Act and rules, including those relating to eligibility for ITC, documentation requirements, blocked credits, and time limits. Specific provisions covered in more detail include Section 16 on eligibility and conditions for ITC, Section 17 on apportionment of credit and blocked credits, and restrictions on ITC for works contracts and construction of immovable property. The document provides an overview of the major ITC concepts and sections under the GST law.
The document summarizes various exemptions from GST in India, including:
1. Certain goods like live animals, meat, fish, vegetables and fruits are exempt from GST. Common items like sugar, drugs, fertilizers and national flags are also exempt.
2. Many essential services are exempt, including health care, education services up to higher secondary level, religious ceremonies, charitable activities, and pension schemes.
3. Agriculture-related services like warehousing of farm goods, fumigation, crop services and transport are exempt from GST.
4. The government has power to grant exemptions from GST if deemed necessary for public interest.
The document discusses various provisions related to tax deducted at source (TDS) in India. It explains the objectives of TDS which include helping report correct incomes, check tax evasion, and widen the tax net. It discusses key sections like 192 on payment of salaries, 193 on interest on securities, 194 on dividends, 194A on interest other than interest on securities, and common provisions around rate of TDS, threshold limits for deduction, and procedures.
The document provides information about e-way bills in India. It discusses the objective and need for e-way bills, provisions under law, the e-way bill generation process which involves filling Part A and Part B, validity periods, extensions, cancellations, exceptions and verification process. E-way bills are required for inter-state movement of goods of over Rs. 50,000 in value and aim to facilitate seamless movement of goods and prevent tax evasion. Registered persons need to generate e-way bills on the common portal prior to movement of goods, listing key details of the consignment, supplier and recipient.
Key Takeaways
Analysis of definitions in Income tax act and treaties
Taxability under the act and treaties
IRoyalty vs. Business income
Illustrative Cases
Judicial Precedents
This document provides an overview of registration under the Goods and Services Tax (GST) in India. It outlines who is required to register based on turnover thresholds, the registration process and forms, amendments to registration, cancellation of registration, and other key details. The registration number structure is also explained. Registration is mandatory for specified persons and businesses above the turnover limit to pay tax and comply with GST regulations.
The presentation discusses the key provisions and procedures related to Tax Deducted at Source (TDS) in India. It explains that TDS is a form of advance tax collection where the onus is on the payer to deduct tax and deposit it with the government. It outlines the TDS process flow and key sections related to TDS for salaries, interest, rent, professional fees, and other payments. It provides thresholds limits for deducting TDS and due dates for payment. The presentation emphasizes best practices for TDS compliance to avoid penalties.
TDS stands for Tax Deduction at Source. It is a mechanism for collecting income tax in India whereby the tax is deducted at source from payments like salary, interest, rent, etc. at the time of payment/credit. The payer has to deduct tax as per rates specified in the Income Tax Act 1961 from the payments, deposit the deducted tax with the government, file quarterly TDS returns, and issue annual TDS certificates to the payee. The payee can then claim credit for the TDS while filing their income tax return. The document outlines the basics of TDS, rates of deduction for different types of payments, due dates for depositing deducted taxes, filing returns and issuing certificates
The document summarizes challenges faced by units in the Santacruz Electronic Export Processing Zone (SEEPZ) in Mumbai, India. It notes that the infrastructure in SEEPZ is dilapidated and in need of repairs, as the buildings are over 30 years old. It also discusses issues like labor unrest encouraging companies to consider relocating, a lack of maintenance from the governing body MIDC, and challenges from the global recession affecting export-dependent businesses.
The document outlines rules related to apartment ownership and maintenance in Uttar Pradesh, India. It defines key terms and outlines forms and processes. Form A is a declaration form that promoters must submit with details of the property like ownership, building plans, apartments, common areas, and ownership shares. Undertakings must also be submitted by new apartment owners to comply with covenants. The rules establish procedures for amendments to declarations and permissions for legal complaints regarding violations.
The document provides guidance on registering a resident welfare society in Uttar Pradesh, India under the Societies Registration Act of 1860. It outlines the requirements for the memorandum of association, which must include the society's name, address, objectives, and names of governing body members. It also describes the necessary components of the rules and regulations document, including membership rules, meeting procedures, and roles of the managing committee. Finally, it lists the registration process and supporting documents required, such as minutes book, membership records, and proof of publishing a registration notice in a newspaper.
This document provides details on tax deducted at source (TDS) rates, thresholds, and due dates for the financial year 2016-17 as per the Indian Income Tax Act. It includes the TDS rate charts listing the tax deduction rates for various types of payments made to residents and non-residents. It also provides notes on aspects like surcharge, education cess, consequences of non-furnishing of PAN number, and exceptions for individual/HUF deductors.
This document summarizes provisions related to tax deduction at source (TDS) on salaries in India.
It outlines that the Income Tax Act requires employers to deduct tax from salaries paid to employees at the time of payment, if the salary exceeds the maximum amount not chargeable to tax. The deducted tax amount is then deposited with the government and the employer issues Form 16 to the employee. Employers must also file quarterly TDS statements. The document specifies tax rates for TDS on salaries and defines who qualifies as an employer responsible for deducting tax for different entity types.
The document summarizes Special Economic Zones (SEZs) in India. The main objectives of SEZs are to generate additional economic activity, promote exports and investment, create jobs, and develop infrastructure. SEZs offer various fiscal incentives like tax exemptions and duty-free imports. However, some criticize SEZs for displacing farmers, acquiring agricultural land, and exacerbating regional inequalities.
This presentation provides an overview of Special Economic Zones (SEZs) in India. It discusses the history and evolution of SEZs from Free Trade Zones, outlines the SEZ policy and acts in India, and summarizes the current status and performance of SEZs. The benefits and incentives for both SEZ units and developers are also summarized. Issues and the path ahead to ensure the success of SEZs in India are then presented.
- The document discusses procedures related to foreign remittances and TDS requirements under Indian law.
- It outlines the process for foreign remittance which includes obtaining forms 15CA and 15CB, details to be provided in the forms based on the remittance amount, submitting the forms to the RBI or authorized dealer along with bills.
- TDS must be deducted on payments made to non-residents per section 195 of the Income Tax Act. The applicable TDS rate will be the domestic rate or lower treaty rate, if available. PAN is mandatory for deducting TDS to get benefit of lower or nil rate otherwise TDS is deducted at 20% under section 206AA.
Application for Lower/No Withholding of Tax: Sec 195 (2) & (3)DVSResearchFoundatio
Objectives & Agenda :
To understand the process involved in making an Application to Assessing Officer for Lower withholding in case of payments to non-residents by the Payer [Sec 195(2)] or the request by the recipient for No withholding [Sec 195(3)]. We shall also look at procedural aspects involved and relevant caveats to be kept in mind.
Our Tax team has summarised the important compliance related provisions of Income Tax Act 1961 and prepared the compliance hand book for easy reference.
Accounting provides a standardized language to identify, measure, and communicate a business's economic information. The basic accounting concepts include the chart of accounts (COA), which categorizes transactions into accounts like assets, liabilities, equity, income and expenses. Financial statements like the profit and loss statement, balance sheet, and cash flow statement give an overall picture of the business's performance and financial position using the framework in the COA. Proper accounting helps track cash flows, profits and losses, assets and liabilities to understand a business's whole financial situation.
To understand the relevance of Form 15G and 15H - the purpose for which the forms are used and the rationale for providing such facility. To analyse the contents of the Forms and understand the eligibility criterias for the assessees to file the Forms. Further, the Webinar shall touch upon certain caveats to be kept in mind while filing the Forms.
The document discusses procedures related to foreign payments and tax deducted at source (TDS) requirements in India.
It outlines the process for remitting funds abroad including obtaining certificates from an accountant (Form 15CB) and submitting forms like 15CA along with bills to the authorized dealer. TDS is required to be deducted on payments to non-residents at prescribed rates under the Income Tax Act or applicable double taxation avoidance agreement.
The consequences of non-compliance with TDS obligations are also summarized, such as disallowance of expenses or penalty equal to the amount of short/non deduction of tax. The applicability of the Income Tax Act or DTAA for charging different types of income like business
E FORMS UNDER INCOME TAX(FORM 24q,26q,27q,27eq,16 and ITRs)Aaditykale
This document provides information about TDS returns in India. It discusses that TDS refers to tax deducted at source on income. TDS returns are quarterly statements submitted by the deductor to report TDS transactions. The document outlines the different quarters and deadlines for filing TDS returns. It also describes the main TDS return forms like Form 24Q for TDS on salaries, Form 26Q for other payments, and Form 27Q for payments to NRIs. Form 16 and Part A/B are also summarized.
TDS related slides and how to file TDS returns and correction or modification on tds return. what is PAn what is TAN, issues faced during tds returing filling, corrections based on the notice received from income tax departments,
income tax payments, notices related to income tax and tds returns
The document provides information on the due dates for filing annual GST returns and audit for the 2018-19 financial year. It discusses the applicability of audit requirements based on aggregate turnover, which is the total value of taxable, exempt and export supplies across all registrations with the same PAN. It also summarizes the key parts and tables in form GSTR-9 for filing the annual return and highlights important points about filing, consequences of late or non-filing, and how to analyze the details required in the different sections.
This document provides an overview of tax deducted at source (TDS) in India. It defines TDS and explains that it is a mechanism for collecting income tax by deducting taxes from payments made to recipients. It outlines who is required to deduct TDS, their responsibilities, applicable tax rates and payments that attract TDS. It also summarizes provisions related to tax collected at source (TCS), due dates for depositing TDS/TCS, filing returns and issuing TDS certificates.
TDS stands for Tax Deducted at Source. As per the Income Tax Act, any person or company making certain types of payments above a threshold amount is required to deduct tax from the payment. This deducted tax is then deposited with the government. Common types of payments where TDS applies include salaries, rent, contract payments, professional fees, interest payments, and others. It is the responsibility of the deductor to deduct TDS at the time of making the payment and deposit it with the government on time. The deductee can claim tax credit for the TDS amount deducted based on the TDS certificate provided by the deductor.
1) As per the Finance Bill of 2013, TDS of 1% is applicable on the sale of immovable property where the sale consideration is greater than or equal to Rs. 50 lakhs. The TDS must be deducted by the purchaser at the time of payment to the seller.
2) The entire sale consideration amount is subject to TDS, not just the amount exceeding Rs. 50 lakhs. For example, if the sale consideration is Rs. 75 lakhs, TDS of 1% would apply to the full Rs. 75 lakhs.
3) Form 26QB must be filed online to report the TDS deducted, providing details of the purchaser, seller
The document provides instructions for filing a 2017 District of Columbia Personal Property Tax Return (Form FP-31). Key details include:
- Who must file includes individuals and entities that own personal property used in a DC business or available for use in DC. Construction companies must apportion property value based on days in DC.
- Exemptions include taxpayers with remaining property value of $225,000 or less and certain non-profits. Filers below the threshold follow a simplified process.
- Returns are due by July 31, 2017. Payment options include electronic payment, check, or credit card (fees apply).
- Late or unpaid returns incur monthly penalties up to 25% and annual interest of 10%. Am
This document provides information about income tax returns (ITR) in India, including what an ITR is, why ITRs should be filed, the different types of ITR forms, and eligibility for each form. There are 7 main ITR forms - ITR1 (for individuals with certain income types up to Rs. 50 lakhs), ITR2, ITR3, ITR4 (for small businesses and professionals), ITR5, ITR6, and ITR7 (for specific entity types). The document outlines the income sources and eligibility criteria for each ITR form and provides details on how to file each form online.
Statement of cash flow / Faten Al Joaid - certified auditor (LACPA)FatenAlJoaid
The document discusses the purpose and components of a cash flow statement. It explains that a cash flow statement assesses a company's ability to generate cash flows, meet obligations, and react to unexpected expenses or opportunities. It covers the three sections of a cash flow statement - operating, investing, and financing activities - and provides examples of cash inflows and outflows that are included in each section. The document also demonstrates how to prepare a cash flow statement using both the direct and indirect method.
E filing of income tax returns & tax audit reports for A.Y. 2013-14Ameet Patel
The Income-tax department of India has made several changes to the e-filing provisions for tax returns. These have added considerable responsibility on tax payers and their Chartered Accountants. The presentation talks about the changes to the e-filing requirements that are effective F.Y. 2012-13 (Assessment Year: 2013-14)
Budget 2016 was recently announced by the Finance Minister of India. This Presentation unravels the Transfer Pricing and International Tax proposals of the Budget 2016.
What is the procedure for filing Form 10BD? How to file Form 10BD online? What is the late fee for Form 10BD? What is the Certificate of Donation? What is the due date for filing Form 10BD?
Similar to Form 15CA and 15CB - A Complete Guide (20)
The Income Tax Department of India has introduced a new facility called the "E-filing Vault" to provide additional security for taxpayer e-filing accounts. The E-filing Vault allows taxpayers to add multi-factor authentication for logging into their accounts by requiring OTPs through Aadhaar linkage, net banking login, or using a digital signature certificate. It also allows taxpayers to add additional security to the password reset process. This provides a higher level of security than just a username and password. Soon, additional options using ATM, bank account, or demat account validation will be added to the E-filing Vault as well.
The document discusses the establishment of a Central Registration Centre (CRC) in India for registering companies. Key points:
- The CRC was initially launched as a pilot project in January 2016 to process name reservations, but was recently converted into a full-fledged central registration center.
- The CRC has jurisdiction across India and has been granted powers to complete the entire incorporation process, issuing certificates of incorporation.
- This recentralizes company registration powers back to the central government from regional registrars of companies. The evolution of the CRC is outlined from initial notifications establishing it.
This document provides important financial year-end due dates and compliance requirements for taxes in India. Key dates include March 31st for paying service tax, excise duty, and advance tax. March 30th is the due date for TDS deducted in March. Other notable dates are May 15th for filing TDS returns, May 31st for issuing Form 16, and various April and May dates for other tax compliance activities. The document emphasizes ensuring all tax payments and filings are completed by their due dates at the end of the financial year.
The document discusses the statutory requirements for a newly incorporated company in India. It covers various compliances that must be completed, including obtaining a common seal and company stamp, registering the company name and address, obtaining a PAN and TAN numbers, appointing statutory auditors, and more. It provides details on validating the digital signature on the certificate of incorporation and using the common seal and company stamp appropriately on legal documents.
- Excise duty of 2% without CENVAT credit or 12.5% with CENVAT credit is levied on readymade garments and textile articles over Rs. 1000 retail price that bear a brand name.
- Job workers who use materials supplied by brand owners are not required to register for excise, but brand owners must register and pay duty. Brand owners can authorize job workers to pay duty instead, requiring the job worker to register.
- If a brand owner gets goods made without supplying materials, manufacturers pay no duty until the brand owner labels goods with the retail price, triggering manufacture and duty.
The government intends to introduce new rules to ease the trademark registration process. The proposed Trade Marks (Amendment) Rules 2015 would reduce the number of forms, delete redundant provisions, introduce electronic filing and service of documents to expedite processing, and simplify procedures for registered user trademarks. The changes aim to make registration more user-friendly by simplifying procedures, providing online filing and search capabilities, and increasing transparency through online information and communications.
The document provides an overview of the Foreign Contribution (Regulation) Act of 2010 in India. Some key points:
- The act regulates acceptance and use of foreign donations by certain individuals, organizations, and companies in India. Its objectives are to prevent foreign funding from affecting national interests or creating communal tensions.
- Registration or prior permission from the government is required for any person or organization to legally accept foreign contributions. Requirements include being a registered entity for at least 3 years with at least 10 lakh rupees spent on activities.
- Strict rules govern opening and use of foreign currency accounts, annual reporting on funds received and used, and penalties for non-compliance which include imprisonment, fines, or
The document discusses tax liability for registered dealers in Delhi under the DVAT Act. It notes that registered dealers are liable to pay tax on all goods sold by them at rates specified in the Act. The document also provides lists of goods exempt from tax including various food items, agricultural implements, goods for disabled persons. It further lists Harmonized System codes for various textiles and furnishing items as well as dealers that are exempt from paying tax on sale of goods.
The document discusses various medical expense deductions and exemptions available to employees in India. It provides details on:
1) Medical expenses fully exempt from tax if provided by employer-owned hospitals or certain approved private hospitals.
2) Health insurance premiums paid by employer or reimbursed to employee are fully exempt up to Rs. 15,000 per year of other medical expenses.
3) Various tax deductions are available under Section 80D, 80DD, 80DDB for medical insurance premiums, treatment of disabled dependents, and medical expenditures respectively.
This document provides information about forming a Limited Liability Partnership (LLP) under Indian law. It outlines the key steps in the LLP formation process, including deciding on partners and designated partners, obtaining digital signatures and Director Identification Numbers, checking name availability, drafting an LLP agreement, and filing incorporation documents with the Registrar of LLPs. It also compares LLPs with partnerships and private companies, describing advantages such as limited partner liability and greater flexibility in management structures for LLPs.
More from VAPS Value Added Professional Services (10)
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Value Added Professional Service LLP
404, 4th Floor, Devika Tower, Chander
Nagar, Ghaziabad (U.P.) 201011
Email: contactus@vapsllp.com
Phone: 0120-4264301, 9810224301
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All about 15CA & 15CB
4. We Simply Add Value Agile more than you Demand Simple yet Effective 4
What is the need?
While making payment for any purchase of Taxable Material or
Services from an overseas entity, withholding tax need to be
deducted and Form 15CA and 15CB are declaration for the
same
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What is the need?
As per Section 195 of the Income Tax Act 1961,
every person liable for making a payment to non-
residents shall deduct TDS from the payments
made or credits given to non-residents at the
rates in force.
RBI also mandates that except in cases of certain
personal remittances which have been
specifically exempted, no remittance should be
made to a non-resident without furnishing an
undertaking in Form 15CA accompanied by a
certificate from an Accountant in Form 15CB
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What is the need?
The purpose of this undertaking and certificate
is to collect taxes at the stage when the
remittance is made as it may not be possible to
recover the tax at a later stage from the non-
residents.
The format of the undertaking in Form 15CA
which is to be filed electronically and the
format of the certificate of the Accountant in
Form 15CB have been notified vide Rule 37BB
of the Income Tax Rules 1962
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What is Form 15CA
Form 15CA is a Declaration given by Remitter and
is used as a tool by statutory authorities for
collecting information in respect of payments
which are chargeable to tax in the hands of
recipient non-resident.
This is starting of an effective Information
Processing System which may be utilized by
the Income tax Department to independently
track the foreign remittances and their nature to
determine tax liability.
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What is Form 15CA
Authorised Dealers / Banks are now
becoming more vigilant in ensuring that
such Forms are received by them
before remittance is effected since as per
Rule 37BB a duty is casted on them to
furnish Form 15CA received from remitter,
to an income-tax authority for the purposes
of any proceedings under the Income-tax
Act.
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What is Form 15CB
The person making the payment needs to
obtain a certificate from a Chartered
Accountant in Form 15CB. Form 15CB is the
Tax Determination Certificate where the
issuer CA examines the remittance having
regard to chargeability provisions under
Section 5 and 9 of Income tax Act along with
provisions of Double tax Avoidance
Agreements with the Recipient’s Residence
Country.
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What is Form 15CB
It is advisable to obtain 15CB even in cases
where 15CA is not mandated. Though there
is no penal provision prescribed in the Act if
such Certificates in Form 15CB and
Declaration in Form 15CA are not obtained,
but it is in the interest of Assessee to have a
tax determination in Form 15CB from a CA,
since Non-resident taxation involves various
complex issues and the consequences of
Non deduction are severe.
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Payment / Remittances doesn’t require 15CA
Fourteenth Amendment Rules, which are
applicable from October 1, 2013, provides
for the list of Payments / Remittances which
doesn’t require compliances and reporting
through the submission of 15CA and in turn
Certificate from Chartered Accountant in
Form 15CB.
The list of these twenty eight items is
covered in the table in further slides:
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Payment / Remittances doesn’t require 15CA
S.
No.
Purpose
code as
per RBI
Nature of Payment
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
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Payment / Remittances doesn’t require 15CA
S.
No.
Purpose
code as
per RBI
Nature of Payment
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
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Payment / Remittances doesn’t require 15CA
S.
No.
Purpose
code as
per RBI
Nature of Payment
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.
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Payment / Remittances doesn’t require 15CA
S.
No.
Purpose
code as
per RBI
Nature of Payment
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.
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Applicability – Various Scenarios
Form 15 CA
If remittance isn’t chargeable to Tax
Scenario Applicability
(a) Single remittance doesn't exceed Rs
50,000;
And
b) Aggregate payment during year doesn't
exceed Rs 2,50,000
Not to be
reported at all
(a) Single remittance exceed Rs 50,000;
And
b) Aggregate payment during year doesn't
exceed Rs 2,50,000
Not to be
reported at all
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Applicability – Various Scenarios
Form 15 CA
If remittance isn’t chargeable to Tax
Scenario Applicability
(a) Single remittance doesn't exceed Rs
50,000;
And
b) Aggregate payment during year exceed Rs
2,50,000
Not to be
reported at all
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Applicability – Various Scenarios
Form 15 CA
If remittance is chargeable to Tax (including Salary or Interst)
Scenario Applicability
(a) Single remittance doesn't exceed
Rs 50,000;
And
b) Aggregate payment during year
doesn’t exceed Rs 2,50,000
To to be reported in Part A
of Form 15CA
(a) Single remittance exceed Rs
50,000;
And
b) Aggregate payment during year
doesn’t exceed Rs 2,50,000
To be reported in Part B of
Form 15CA along with
Form 15CB and other
prescribed documents, if
any
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Applicability – Various Scenarios
Form 15 CA
If remittance is chargeable to Tax (including Salary or Interst)
Scenario Applicability
(a) Single remittance doesn't exceed
Rs 50,000;
And
b) Aggregate payment during year
exceed Rs 2,50,000
To be reported in Part B of
Form 15CA along with
Form 15CB and other
prescribed documents, if
any
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Details to be provided in Form 15CA
Form 15 CA
To be filled up by the person responsible for making remittance to
NR or foreign company which is chargeable to tax in India
(including interest or salary)
Part A of Form 15 CA (Form 15CB is not required)
Particulars Details
Who shall fill
it
To be filled up if the remittance to non- resident or
to a foreign company does not exceed Rs. 50,000
per transaction and aggregate of such payments
made during the financial year does not exceed Rs.
2,50,000
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Details to be provided in Form 15CA
Particulars Details
What
information
has to be
filled in?
In respect of Remitter
• Permanent Account Number (PAN) and Tax
Deduction and collection Account Number (TAN)
should be mentioned. TAN is mandatory in cases
where:
• tax has been deducted or will be deducted at
source;
• the remitter has obtained an order under
section 195 (2) of the Income-tax Act from the
Assessing Officer.
• In case an invalid PAN and/or TAN is filled in by the
remitter, the Form will not be generated
Part A of Form 15 CA (Form 15CB is not required)
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Details to be provided in Form 15CA
Particulars Details
• In case the remitter does not have a TAN, it is mandatory
to quote PAN of the remitter.
• PAN of the remitter should invariably be given. However,
the same is mandatory if status of entity is Company or
Firm. If PAN is not given in such cases, the remitter will not
be allowed to generate the Form.
• Details in at least two address fields for remitter should be
mentioned
• Name of the entity should be mentioned in the “Name of
remitter” field.
• No value is to be provided in Area code, AO type, Range
code & AO number. The fields will be entered by the
system after validating the PAN and/or TAN.
• Email id and mobile number, if any, should be provided.
Part A of Form 15 CA (Form 15CB is not required)
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Details to be provided in Form 15CA
Particulars Details
In respect of Recipient of Remittance
• Complete address of recipient of remittance,
separated by coma, should be provided.
• PAN, allotted by the Indian Income Tax Department
should be mentioned.
• If status of entity is “company”, then provide type
of company i.e., “domestic” or “other than
domestic”.
• In the field “Principal Place of Business”, the
country of tax residence of the recipient of the
remittance should be mentioned.
Part A of Form 15 CA (Form 15CB is not required)
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Details to be provided in Form 15CA
Particulars Details
In respect of Remittance
• Amount payable before TDS (In Indian Currency)
• Aggregate amount of remittance made during the
financial year including this proposed remittance
• Name of Bank and details of the branch of bank
• Proposed date of remittance
• Nature of remittance
• Tax deducted—
(a) Amount of tax deducted
(b) Date of deduction
Part A of Form 15 CA (Form 15CB is not required)
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Details to be provided in Form 15CA
Part B of Form 15 CA (Form 15CB is required)
Particulars Details
Who shall fill it
To be filled up for remittances other those
specified in Part A (If the Remittance is chargeable
to tax and exceed Rs. 50000 per transaction and
aggregate of such payments made during the
financial year exceeds Rs. 2,50,000)
What
information
has to be filled
1. Forms prescribe mandatory application of
provisions of Section 206AA, if PAN of
remittee is not available;
2. Other details:
Divided into Section A and Section B
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Details to be provided in Form 15CA
Part B of Form 15 CA (Form 15CB is required)
Particulars Details
Section A
Details of Remitter, Remittee and Accountant to be
specified in this section
In respect of details of Accountant, following are
important:
• Date of certificate should not be a future date.
• Registration number should be numeric.
• Details of accountant are not required if point no.
15 is selected i.e. any order u/s 195 (2)/ 195 (3)/
197 of the Income-tax Act has been obtained from
Assessing Officer.
• Certificate number is an alphanumeric field
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Details to be provided in Form 15CA
Part B of Form 15 CA (Form 15CB is required)
Particulars Details
Section B
Particulars of Remittance and TDS (as per certificate of
accountant), namely:
a. Remittance details
b. Taxability under the Income Tax Act without
considering the relief of the DTAA
c. If income is chargeable to tax in India & relief is
claimed under DTAA, whether TRC has been obtained
from recipient?
d. TDS details
e. If remittance is on account of capital gains details of
amount of short-term, long-term capital gains and the
basis of arriving at the taxable income.
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Details to be provided in Form 15CA
Part B of Form 15 CA (Form 15CB is required)
Part B of Form 15CA is to be filled after obtaining either
of the below:
a. A certificate in form no. 15CB from an Accountant
(Chartered Accountant) or
b. A certificate from the Assessing Officer (AO) under Sec
197 or
c. An order from Assessing Officer under sub-sec (2) or
sub-section (3) of sec 195
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Details to be provided in Form 15CA
Guidelines for Part B of Form 15 CA
• Provide the values as per the accountant certificate obtained in
Form 15CB.
• In case name of the country is not available in drop down list,
select value “other” from the drop down and provide name of
the country.
• In case currency name is not available in drop down then select
value “other” from the drop down and provide name of the
currency.
• Proposed date of remittance should be current date or a future
date.
• Amount of TDS should be less than amount of remittance.
• Actual amount of remittance after TDS should be less than
amount of remittance.
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Details to be provided in Form 15CA
Guidelines for Part B of Form 15 CA
• Select type of the bank:
• Indian Bank (Bank of India, Dena Bank etc.)
• Foreign Bank (Standard Chartered Bank, HSBC, Citi Bank etc.)
• In case of “Indian Bank”, user will be required to provide “Name of
the branch” and “BSR code”
• In case of “Foreign Bank”, user will be required to provide details of
location i.e. Located in India or Located outside India
• In case of foreign bank located in India, user will be further required
to provide “Name of the branch” and “BSR code”
• In case of foreign bank located outside India, user will be further
required to provide:
• Name of the branch
• BSR code (This will be optional)
• Code of branch (This will be mandatory)
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Details to be provided in Form 15CA
Guidelines for Part B of Form 15 CA
• Rate of TDS as per DTAA (if applicable) should be
mentioned up to two decimal places.
• Amount should be mentioned up to 2 decimal places.
• Select any one out of fields 12, 13, 14 and 16. One
form is to be filled for one type of remittance.
• Details of “responsible person” should be mentioned
for verification.
• Value for “rate of deduction as per the Income-tax Act”
should be “0.00” if no tax has been deducted and
“amount of TDS in Indian and foreign currency” should
be “0.00”.
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Applicability – Various Scenarios
Form 15 CA
Based on the above discussions it can be concluded that:
a. There are 28 types of payments for which no
information is required to be furnished at all.
b. Form 15CB is not required where Part A of Form 15CA is
to be filled in, i.e., in case of small payments.
c. In case of other payments, either an order or a
certificate of the Assessing Officer u/s. 197 / 195(2) /
195(3) must be obtained, or a certificate of the
Chartered Accountant should be obtained.
d. Sub-rule (2) of Rule 37BB mandates that Form 15CA
shall be furnished to the authorised dealer prior to
remitting the payment.
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Applicability – Various Scenarios
Form 15 CA
e. Rule 37BB casts a duty on the authorised dealer to furnish
Form 15CA submitted by the remitter to an income-tax
authority for the purposes of any proceedings under the
Income-tax Act.
f. Form 15CA state that in the absence of the PAN of the
recipient, provisions of section 206AA shall apply.
g. Form 15CB requires detailed enumeration of the taxability
of the amount under the Income-tax Act, without giving
any effect to the DTAA. Where DTAA provisions are sought
to be applied, the details of the Tax Residency Certificate,
applicable DTAA and its relevant article, as also tax liability
under the DTAA are to be furnished.
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Changes introduced in Finance
Act, 2015 in respect of Form
15CA and Form 15CB under
Section 195(6) of Income tax
Act, 1961
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Changes in Finance Act, 2015
Section 195 (6) has been amended in the Finance Act
2015 and states that Form 15CA / CB needs to be
necessarily filed for all remittances, whether chargeable
to tax in India or not.
All the assessees are requested for submission of Form
15CA / 15CB for all outward cross border
remittances including those against imports with effect
from 1st June 2015
Previously Section 195(6) of the Act used to provide that
any person responsible for making payments to a non-
resident of any sum chargeable under the IT Act will
provide such information as may be prescribed in Form
15CA and 15CB.
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Changes in Finance Act, 2015
Previously there was no penalty prescribed
for non-furnishing of information or
furnishing of incorrect information under
section 195(6) of the IT Act (i.e. Form 15CA
and Form 15CB).
It is now proposed to provide a penalty
of one lakh rupees in case of non-furnishing
of information or furnishing of incorrect
information under section 195(6) (i.e. Form
15CA and Form 15CB) of the Act.
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Changes introduced vide Press
Release dated 17th December
2015 under Rule 37BB of
Income tax Rules
38. We Simply Add Value Agile more than you Demand Simple yet Effective 38
Changes vide Press release dated 17.12.15
• No Form 15CA and 15CB will be required to be furnished by
an individual for remittance which do not requiring RBI
approval under its Liberalised Remittance Scheme (LRS)
• The list of payments of specified nature mentioned in Rule 37
BB which do not require submission of Forms 15CA and 15CB
has been expanded from 28 to 33 including payments for
imports.
• A CA certificate in Form No. 15CB will be required to be
furnished only in respect of such payments made to non-
residents which are chargeable to tax and the amount of
payment during the year exceeds Rs. 5 lakh.
The amended Rules will become applicable from 1st April 2016
and were notified vide Notification No. G.S.R. 978(E) dated 16th
December, 2015
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S.
No.
Purpose
code as
per RBI
Nature of Payment
29 S0101 Advance payment against imports
30 S0102 Payment towards imports - settlement of invoice
31 S0103 Imports by diplomatic missions
32 S0104 Intermediary trade
33 S0190 Imports below Rs.5,00,000 - (For use by ECD offices)
Payment / Remittances doesn’t require 15CA – Newly added
five items over and above earlier notified 28 items to make
the list of 33 items
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Changes introduced in April
2016 in respect of Form 15CA
and Form 15CB under Rule
37BB of Income tax Rules
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Changes applicable from 1st April 16
Start
Is
remittance
Taxable
Covered
under
specified
exemption
list
15CA – Part D
15CB – X
Yes
> Rs. 5
Lacs in
FY
Yes
Certific
ate u/s
195 /
197
Yes 15CA – Part B
15CB – X
15CA – X
15CB – X
Yes
15CA – Part A
15CB – X
15CA – Part C
15CB –
End
No NoNo
No
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Changes applicable from 1st April 16
The CBDT has amended Rule 37 BB of the Income-
tax Rules and made following changes which are
applicable from 1st April 2016:
The furnishing of information for payment to a
non-resident, not being a company, or to a foreign
company in Form 15CA has been classified into 4
parts –
Part A,
Part B,
Part C and
Part D, wherein:
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Changes applicable from 1st April 16
Part A: Where the remittance or the aggregate of such
remittances does not exceed 5 lakh rupees during the FY.
(Whether taxable or not)
Part B: Where an order / certificate u/s 195(2) / 195(3) / 197
of Income-tax Act has been obtained from the AO. (Whether
NIL rate or Lower Rate Certificate)
Part C: Where remittance is chargeable to tax under
domestic law and the remittance or the aggregate of such
remittances exceeds 5 lakh rupees during the FY and a
certificate in Form No. 15CB has been obtained electronically
from a CA. (Utility available on Income Tax e-filing Website)
Part D: Where the remittance is not chargeable to tax under
Domestic Law.
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Changes applicable from 1st April 16
No 15CA / CB is required in following cases:
• if an individual is making remittance which do
not requiring RBI approval under its Liberalized
Remittance Scheme (LRS) or items mentioned
in Schedule III to the Foreign Exchange (Current
Account Transaction) Rules, 2000 as stated in
further slides
Or
• If remittance is in the nature of 33 items
provided in the rule 37BB as stated in previous
slides
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Changes applicable from 1st April 16
Individuals can avail of foreign exchange facility for the
following purposes within the limit of USD 2,50,000 only.
Any additional remittance in excess of the said limit for
the following purposes shall require prior approval of the
Reserve Bank of India.
i. Private visits to any country (except Nepal and Bhutan)
ii. Gift or donation.
iii. Going abroad for employment
iv. Emigration
v. Maintenance of close relatives abroad
Items mentioned in Schedule III to the Foreign
Exchange (Current Account Transaction) Rules, 2000
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Changes applicable from 1st April 16
vi. Travel for business, or attending a conference or
specialised training or for meeting expenses for
meeting medical expenses, or check-up abroad, or for
accompanying as attendant to a patient going abroad
for medical treatment/ check-up.
vii. Expenses in connection with medical treatment
abroad
viii. Studies abroad
ix. Any other current account transaction
Items mentioned in Schedule III to the Foreign
Exchange (Current Account Transaction) Rules, 2000
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Changes applicable from 1st April 16
Provided that for the purposes mentioned at item numbers
(iv), (vii) and (viii), the individual may avail of exchange facility
for an amount in excess of the limit prescribed under the
Liberalised Remittance Scheme as provided in regulation 4 to
FEMA Notification 1/2000-RB, dated the 3rd May, 2000 if it is
so required by a country of emigration, medical institute
offering treatment or the university, respectively.
Provided further that if an individual remits any amount
under the said Liberalised Remittance Scheme in a financial
year, then the applicable limit for such individual would be
reduced from USD 250,000 by the amount so remitted.
Items mentioned in Schedule III to the Foreign
Exchange (Current Account Transaction) Rules, 2000
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Changes applicable from 1st April 16
Provided also that for a person who is resident but not
permanently resident in India and
a. is a citizen of a foreign State other than Pakistan; or
b. is a citizen of India, who is on deputation to the
office or branch of a foreign company or subsidiary
or joint venture in India of such foreign company,
may make remittance up to his net salary (after
deduction of taxes, contribution to provident fund and
other deductions).
Items mentioned in Schedule III to the Foreign
Exchange (Current Account Transaction) Rules, 2000
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Changes applicable from 1st April 16
When payment is chargeable to Income-tax Act, 1961
and exceeds Rs. 5 Lac during the financial year:
• In case an order is obtained from Assessing Officer
under section 195(2) or 195(3) or a Certificate is
obtained from Assessing Officer under Section 197:
Information is required in Part B of Form 15CA
• In any other cases
Information is required in Part C of form 15CA,
after obtaining a Certificate in Form 15CB from
an accountant
Process steps for filing 15CB and 15CA in
cases where 15CB needs to be filed
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Changes applicable from 1st April 16
• The Certificate in Form No. 15CB shall be furnished
and verified electronically in accordance with the
procedures, formats and standards specified by
the Principal Director General of Income-tax
(Systems).
• Upload of Form 15CB is mandatory prior to filling
Part C of Form 15CA. To prefill the details in Part C
of Form 15CA, the Acknowledgment number of e-
Filed Form 15CB should be provided.
Process steps for filing 15CB and 15CA in
cases where 15CB needs to be filed
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Changes applicable from 1st April 16
Hence, 15CB shall be furnished online by chartered
accountant itself with effect from 01.04.2016. To give
effect the same, there is a requirement of adding CA
under the Login details of Person filing Form 15CA
• Client should Add CA for Form 15CB.
• CA should Download the Java Utility for 15CB, Fill Up
and generate xml.
• CA should log in to e-filing portal using user id
• Upload the 15CB xml generated with DSC procedure.
There ends the work of a CA
Process steps for filing 15CB and 15CA in
cases where 15CB needs to be filed
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Changes applicable from 1st April 16
Step 1: Client should log in to its account and in “work
list” option under main menu click “For Your Information
section” and see the list of returns e-filed.
Step 2: 15CB e-filed by CA will appear in first. Select the
form and download the Acknowledgement No file of
15CB and also 15CB PDF file (password for PDF file is PAN
& DOB/DOI)
Step 3: Then under “'e-file” option select “Prepare and
Submit online forms other than ITR” Select 15CA in it.
Process steps for filing 15CB and 15CA in
cases where 15CB needs to be filed
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Changes applicable from 1st April 16
Step 4: Client to validate the DSC signature file and on
choosing the DSC file it will ask for which Part of 15CA to be
chosen Part -A/ B/ C/ D.
Step 5: For options of C &D 15CB of CA is required. So if C /
D is selected it will ask for the 15CB e-filed
acknowledgement no.
Step 6: On entering the 15CB e-filed acknowledgement no,
15CA is populated fill the necessary details then submit.
Step 7: Finally under “My Account” section in “View”
option one can see the 15CA e-filed.
Process steps for filing 15CB and 15CA in
cases where 15CB needs to be filed
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This write up is intended to start academic discussion
on few significant interpretations under Income Tax
Act, 1961 as well as FEMA and RBI regulations. It is
not intended to be a professional advice and should
not be relied upon for real time professional facts.
Readers are advised to refer relevant provision of law
before applying or accepting any of the point
mentioned above. Author accepts no responsibility
whatsoever and will not be liable for any losses,
claims or damages which may arise because of the
contents of this write up.
Disclaimer
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Hope you fount it useful