What is Form 15CA?
Form 15CA is a form used during the process of remittance to a foreign entity. The form is required as per the Indian rules laid down by the Income Tax Act of 1961. Section 195 of the Income-tax Act, 1961 calls for deduction of income-tax from payments made or credit given to NRIs at the rates in force. Form 15CA is related to the procedure of making a payment to a Non Resident entity and deduction of Tax Deductible at Source (TDS) on the payment made.
Form 15CA can also be defined as an electronic undertaking by the remitter with details of the proposed remittance and TDS.
The form has three sections and all of them should be filled carefully.
The first section includes Name and additional information of the Remitter such as PANNumber, TAN Number along with the Address of the Remitter. The Principal Place of Business is also required to be mentioned.
The second section of the form requires details of the recipient of the remittance. Name, address, details of the Place of Business, the PAN Number, along with the country’s name to which the remittance has been made is required to be mentioned. Moreover the status of the entity, whether it is a company, a firm, or other, should also be mentioned.
The third section deals with the details of the Accountant. The Name and address of the Accountant, the name of the firm or proprietorship concern the accountant is representing. Most important are the Registration Number and the Certificate details.
What is Form 15CB?
Remitter, who is the person making the payment is required to obtain a certificate from a Chartered Accountant in Form 15CB in the prescribed format from the Central Board of Direct Taxes (CBDT).
The information in Form 15CA should be furnished after obtaining a Certificate in Form 15CB from a Chartered Accountant.
Some points to be kept in mind while submitting Form 15CA and 15CB to the bank
- Form 15CA and/or 15CB should be provided prior to the proposed remittance.
- Details stated in Form 15CA/ 15CB should tally with each other or with the details in the A2 form and/or supporting documents.
- Form 15CB should be duly signed/ stamped: Form 15CB has to be signed and stamped by the Chartered Accountant clearly mentioning the registration number and certificate number.
- The print out of the 15CA undertaking Form should be physically signed by the remitter.