Skip to main content

What is Form 15CA and 15CB? Introduction, Importance, and New Rules

Making payments overseas, or outside India, mandates individuals to fulfill certain documentation, legalities, and guidelines.
Remittances to Non-Resident Indians staying in UAE are sanctioned by banks only if the person making the remittance provides an undertaking along with certificates, namely Forms 15CA and Forms 15CB.
In simple terms, any NRI staying in UAE in need of funds/money transfer, or remitting funds from India to abroad, is mandatorily required to submit duly filled Form 15 CA and 15CB.
The purpose of the two documents is to ensure that taxes have been paid on the funds involved before overseas remittance is carried. In case, the funds are remitted abroad without the due taxes are being paid, Individual will get notice from Income Tax Department.
The two legal documents offer similar information, with the major difference that Form 15 CA is a declaration by the NRI wanting to remit funds, while Form 15CB is a Chartered Accountant’s certification of the same.

Here’s a look at the legal definitions of these forms:

What is 15CA?15CA Form is a declaration of the remitter (individual) which is given to the bank’s RM for completing the Transfer of Funds.
What is Form 15CB?15CB is a CA Certificate for individuals who want to repatriate funds/money from their NRO Account to NRE Account net of applicable taxes if any.
Having defined what these 15 CA/CB forms are, it is crucial one realizes the importance of the two documents.
Importance of Form 15CA and 15CB15CA and 15CB are crucial CA documents required for the purpose of transferring funds or money from Non-Resident Ordinary Rupee (NRO) Account to Non-Resident Rupee (NRE) account.
The Income Tax Department has made revisions in the preparation and submission rules for 15 CA/CB forms.
Rules for issuing 15CA/15CB CertificateThe 15CA/CB Forms are mandatory documents required for NRIs in need of fund transfer. Your appointed CA must cater to certain rules and regulations before he/she can issue the Certificates:
  • Whether the Client has a PAN Card?
  • What is the source of funds generated by the Client?
  • Whether the Client has sufficient documentary evidence for the source of funds?
  • Whether the Client is doing regular tax compliance by filing their Income Tax Returns?
  • Whether proper Tax Deducted at Source (TDS) has been deducted on the source of funds?
  • If there is no TDS deducted than an individual has paid self-assessment tax or advance tax before the issue of 15CA CB.
To get hold of your tax-related tasks for financial sustainability and legal compliances, seek professional assistance from a trusted partner.
Alankit, with its 15+ years of experience in tax advisory services, specialized tax services for NRIs based in UAE, and other tax-related advanced services, offers seamless processes for 15CA/CB Certificates. It leads the industry by ensuring minimum turnaround time for issuing a 15CA/15CB Certificate.

Some additional services offered by Alankit include the issue of UDIN number along with a 15CB Certificate. The company’s strong networking with a majority of Indian bank branches having representative offices in UAE, ensures hassle-free and secure servicing.

Labels

Labels:

Comments

Post a Comment

Popular posts from this blog

Do I need a GST number for my small business?

Under the previous indirect tax regime, multiple registration numbers were required for the different sets of Service Tax, Excise Tax, VAT, etc. However, with the introduction of GST, people or businesses require only a single registration number. Businesses thus need a GSTIN for operations.  GSTIN, or GST identification number is a 15-digit unique alpha-numeric identification number which is allotted to every registered person under GST. However, an individual can have multiple GST numbers if he is an assessee under the Income Tax Act for different states/union territories he operates his business from. Persons or businesses which exceed a certain threshold limit are mandatorily required to register under GST. Precisely, businesses with turnover exceeding Rs. 40 lakhs* (Rs 10 lakhs for NE and hill states) are mandated to register as a normal taxable person. The process of such businesses getting registered for taxes is called  GST registration . Tax autho...
6 comments
Read more

Skill India Benefits: Making India Better and Skillful

Skill India is a campaign that was launched on 15th July, 2015 by Prime Minister Narendra Damodardas Modi with an aim to train over 40 million people in India in different skills by 2022. Several government initiatives have been used in this campaign including National Policy for Skill Development and Entrepreneurship, 2015, National Skill Development Mission, Skill Loan scheme and  Pradhan Mantri Kaushal Vikas Yojana  (PMKVY). By giving unutilized skills and the untried ideas a chance to shine, the campaign will help modify the dreams as well as magnify the skills of many people in the country. India is a country that embraces intelligence and knowledge, and for a person with a deeper knowledge and understanding about a certain matter or subject, this could be the best place to thrive and make good use of their skills. Even with its high and rising population, majority of people in India are always striving to better their lives. For this reason,  skill develop...
1 comment
Read more

24 events a day, SAD’s Surjit Singh Rakhra rolls up sleeves

With the Shiromani Akali Dal (SAD) naming former minister  Surjit Singh Rakhra  as its candidate, the Patiala Lok Sabha seat is likely to witness a triangular contest. While Dr Dharamvira Gandhi is already in the fray as PDA (Punjab Democratic Alliance) nominee, former Union Minister Preneet Kaur is almost certain to be fielded by the Congress. While Rakhra enjoys a good rapport with the common people, Preneet Kaur has been nurturing the constituency for over two decades. Dr Gandhi is too a popular figure in the area. Rakhra, a former MLA from Samana, has been active in Patiala since the past two years though his candidature was cleared only last week. Sources say that at a meeting in Barnala, SAD president Sukhbir Singh Badal told the party cadre to roll up their sleeves and work for “Rakhra’s win”. Rakhra replaces Deepinder Singh Dhillon who has rejoined the Congress. Known for his proximity to former CM Parkash Singh Badal, Rakhra has begun campaigning in right earn...
Post a Comment
Read more