Form 15CA and Form 15CB are the procedural backbone of every cross-border outward remittance from India to a non-resident under Section 195 of the Income-tax Act, 1961, read with Rule 37BB of the Income-tax Rules, 1962. Form 15CA is the remitter's declaration of taxability and tax withheld, filed online on the income tax e-filing portal in one of four parts (A, B, C, or D) depending on the remittance amount and chargeability; Form 15CB is the Chartered Accountant's certificate confirming the nature of remittance, applicable Section 195 / Section 9 chargeability, DTAA relief, and TDS rate. Together they form the compliance gateway that authorised dealer banks demand before processing any foreign currency transfer — covering payments for imports, royalty, technical services, interest, dividend, professional fees, software licences, business profits, capital gains, and any other sum chargeable to tax under the Act. Non-compliance triggers significant exposure — Section 271-I penalty of ₹1 lakh per default, Section 195(7) general anti-avoidance, Section 201 / 201(1A) interest and demand for short-deduction, Section 40(a)(i) disallowance of expense in computation of business income, and Section 276B prosecution for non-payment of TDS.
The 15CA/15CB filing framework operates on a structured four-part architecture under Rule 37BB(1)(i): Part A applies to remittances ≤₹5 lakh in aggregate during the financial year that are chargeable to tax — only Form 15CA (Part A) required, no CA certificate; Part B applies to remittances > ₹5 lakh per financial year that are chargeable to tax where an Assessing Officer's order under Section 195(2) / 195(3) / 197 has been obtained — Form 15CA (Part B) plus the AO order; Part C applies to remittances > ₹5 lakh per financial year that are chargeable to tax — Form 15CA (Part C) plus Form 15CB CA certificate; Part D applies to remittances of any amount that are NOT chargeable to tax in India — only Form 15CA (Part D), no CA certificate required. Rule 37BB(3) lists 33 specified categories of remittances exempt from both Form 15CA and Form 15CB — including non-resident's own foreign-source income remittances, dividend on FDI, advance against export, Indian investment abroad, payment for imported books, foreign currency travel cheques, donations, and 26 other specified purpose codes. The framework integrates with FEMA outward remittance regulations, Liberalised Remittance Scheme (LRS) limits, Reserve Bank of India (RBI) reporting, and DTAA short-stay / treaty-based withholding rates verified through Tax Residency Certificate (TRC), Form 10F, and No PE Declaration.
Aggregate remittances ≤ ₹5 lakh in financial year that are chargeable to tax — only Form 15CA Part A required; no Form 15CB CA certificate; basic remitter / remittee details, nature of remittance, TDS particulars.
Remittance > ₹5 lakh / FY where Assessing Officer's order under Sec 195(2) / 195(3) / 197 obtained for lower or nil TDS — Form 15CA Part B plus the AO order; useful for genuine no-tax / lower-tax cases.
Most common route — remittance > ₹5 lakh / FY chargeable to tax with no AO order — Form 15CA Part C plus Form 15CB CA certificate; CA certifies chargeability, DTAA application, TDS rate, and TDS deducted.
Remittance NOT chargeable to tax in India — Form 15CA Part D, no CA certificate required; covers FEMA-permitted remittances that fall outside Section 195 scope (e.g., LRS for personal use not income).
Rule 37BB(3) lists 33 specified remittance categories exempt from both Form 15CA and Form 15CB — including non-resident's own foreign income, FDI dividend, advance against exports, Indian investment abroad, imported books, donations.
Section 195(1) — any person responsible for paying any sum chargeable to tax to a non-resident shall deduct income-tax at rates in force; covers payments for royalty, technical services, interest, dividend, capital gains, business profits with PE.
Section 9 deemed source rules — royalty / fees for technical services / interest / dividend deemed-Indian income; DTAA Article-wise analysis; TRC + Form 10F + No PE Declaration; concessional treaty rate vs domestic rate election.
Form 15CB filed first by CA on income-tax e-filing portal with UDIN; Form 15CA then filed by remitter referencing 15CB acknowledgement number; both acknowledgements submitted to AD bank for Form A2 / outward remittance.
Any person responsible for paying any sum chargeable to tax (other than salary, dividend exempt) to a non-resident shall deduct income-tax at rates in force at the time of credit or payment, whichever is earlier; applies to all payers — companies, firms, individuals.
Where person paying any sum considers that the whole sum would not be income chargeable to tax in non-resident, application can be made to AO for determination of appropriate proportion chargeable; results in lower / nil TDS order; valid for specific transaction.
Person responsible for paying any sum (whether or not chargeable to tax) to non-resident shall furnish information of such sum in prescribed form (Form 15CA) — empowering Rule 37BB; covers reportable transactions including non-chargeable remittances.
Recipient (non-resident) can apply for certificate authorising deduction of tax at lower rate or nil rate; AO issues certificate on satisfaction of justifiability; valid for specified period; remitter relies on certificate for reduced 15CB rate.
Royalty payable by Indian resident is deemed to accrue in India, except where payable for use of right outside India for purpose of business carried on outside India; covers payments for IPRs, software licences, technical know-how, equipment use.
Fees for Technical Services (FTS) — managerial / technical / consultancy services payable by Indian resident deemed-Indian source income; consultancy services rendered abroad with utilisation in India also captured; 10% domestic rate or DTAA rate.
Non-resident must furnish TRC issued by tax authority of resident country to claim DTAA benefits; supplemented by Form 10F containing prescribed information (status, period, address, tax ID); failure denies DTAA relief, defaulting to domestic rate.
Where non-resident does not furnish PAN, TDS rate is higher of — applicable rate; rates in force; or 20%; relaxation under Rule 37BC for specified payments (interest, royalty, FTS, capital gains) if name, address, tax ID, TRC, email furnished.
Penalty of ₹1 lakh for failure to furnish information / furnishing inaccurate information in Form 15CA / 15CB; per default basis; in addition to Sec 201 / 201(1A) interest, Sec 40(a)(i) disallowance, and Sec 276B prosecution exposure.
Where any sum payable to non-resident on which TDS is deductible has not been deducted / paid — entire expense disallowed in computing business income; deductible in subsequent year when TDS paid; significant cost of non-compliance.
Specified remittance purposes exempt from Form 15CA/CB — non-resident's own foreign-source income, FDI dividends, advance against exports, Indian investment abroad, imported books, donations, scholarships, foreign embassy remittance, and 26 others.
Unique Document Identification Number issued by ICAI for every Form 15CB; UDIN must be quoted in 15CB and verified by remitter and AD bank; ensures CA accountability; failure to quote UDIN renders 15CB invalid for bank purposes.
Section 9 deemed-source determination, Section 195 chargeability, DTAA Article-wise analysis, MFN clause invocation, beneficial rate election, withholding rate finalisation for every remittance category.
CA-certified Form 15CB on e-filing portal — taxability confirmation, DTAA Article reference, TRC verification, Form 10F validation, No PE declaration review, TDS rate certification, UDIN generation.
Online Form 15CA filing in appropriate Part (A / B / C / D) — remitter / remittee details, nature of remittance, TDS particulars, 15CB acknowledgement reference, online submission, acknowledgement download.
Bulk processing for recurring remittances — royalty, FTS, intra-group services, software licence fees; standardised templates; consolidated 15CB / 15CA workflows; AD bank coordination for batch submission.
Treaty-by-treaty analysis — India-US, UK, Singapore, UAE, Mauritius, Netherlands, Germany, Japan, Korea, Australia DTAAs; royalty / FTS / interest / dividend / capital gains rates; Most-Favoured-Nation clause invocation.
Application to AO for determination of taxable proportion — for genuine no-tax / lower-tax cases; legal submissions, treaty analysis, factual matrix, hearings, AO order procurement; Sec 197 lower / nil TDS application.
Tax Residency Certificate procurement support, Form 10F preparation, No PE Declaration drafting; non-resident document validation; PAN / Aadhaar linkage where required; e-Filing portal Form 10F online filing post-2022 mandate.
Authorised Dealer bank liaison — Form A2 preparation, purpose code selection, FEMA outward remittance documentation, SWIFT message review, bank query resolution, RBI reporting integration.
Section 195 TDS deposit through Challan ITNS-281, quarterly Form 27Q TDS return filing, TDS certificate Form 16A issuance to non-resident, TRACES portal coordination, default rectification.
Withdrawal of erroneous Form 15CA within 7 days, Form 15CB revision protocols, refund of excess TDS, Sec 248 appeal where TDS deducted in excess, AO rectification under Sec 154.
Sec 271-I penalty proceedings — show cause replies, reasonable cause submissions under Sec 273B, documentary evidence, written submissions, oral hearings, CIT(A) / ITAT appeals on penalty.
Periodic review of past 15CA / 15CB filings — Section 9 chargeability re-evaluation, DTAA position validation, Sec 40(a)(i) disallowance risk, Sec 201 short-deduction exposure, remediation roadmap.
Indian importer making outward remittance to foreign supplier — chargeability analysis (typically not chargeable for goods imports), Form 15CA Part D filing, AD bank documentation.
Payment for use of IP, software licences, technology, brand — Sec 9(1)(vi) royalty, 10% domestic / DTAA rate, TRC + Form 10F + No PE; standard 15CA Part C + 15CB.
Fees for technical / managerial / consultancy services to non-resident — Sec 9(1)(vii) FTS, "make available" test under DTAAs, 10% / treaty rate, 15CA Part C + 15CB.
Interest on External Commercial Borrowing or foreign loans — Sec 194LC concessional 5% / DTAA rate, withholding tax compliance, 15CA Part C + 15CB filing.
Indian company declaring dividend to foreign shareholder — Sec 195 TDS at 20% / DTAA rate (typically 5%-15%), MFN clause check, Sec 206AA no-PAN risk, 15CA + 15CB.
Group cost recovery, cost-to-cost reimbursement, intra-group cross-charges — chargeability analysis (typically not chargeable for pure reimbursements), Form 15CA Part D / C + 15CB.
Capital gains on transfer of Indian shares / immovable property by non-resident — Sec 195 TDS, Sec 9(1) source rules, indexation / forex for shares, AO certificate route under Sec 195(2).
Resident individual remittance under Liberalised Remittance Scheme (₹2,50,000 USD/FY equivalent) — Sec 206C(1G) TCS for some categories, Form 15CA Part D, FEMA compliance.
Nature of remittance, agreement terms, remittee profile, prior pattern, FEMA route, AD bank requirements review.
Sec 9 source analysis, DTAA Article applicability, MFN clause, TRC + Form 10F validation, beneficial rate determination.
Part A / B / C / D selection based on amount and chargeability, Rule 37BB(3) exempt list check, AO order need assessment.
CA Form 15CB issuance with UDIN, online portal filing of Form 15CA referencing 15CB, acknowledgement generation.
15CA / 15CB to AD bank, Form A2 documentation, TDS deposit through ITNS-281, Form 27Q quarterly return filing.
End-to-end Form 15CA & 15CB filing — chargeability analysis, DTAA-based withholding, TRC / Form 10F / No PE Declaration support, Sec 195(2) / 197 AO orders, AD bank coordination, TDS deposit, Form 27Q filing, and Sec 271-I penalty defence.
Schedule a 15CA/15CB Consultation