FORM 15CA & FORM 15CB- OLD & NEW CHANGES

Form 15CA and
Form 15CB – old AND new changes
The CBDT has issued Twelfth
Amendment Rules on August 5, 2013 vide Notification No. 58/2013 whereby it
amended Rule 37BB and prescribed new Forms 15CA and 15CB. However, within a
couple of weeks, the CBDT issued one more amendment to Rule 37BB in suppression
of earlier notification (amendment rules).
In view of the recent
Fourteenth Amendment Rules, which are applicable w.e.f. October 1, 2013, the
extent of compliances and reporting have been reduced for the remittances up to
a certain limit. Remittances which are not chargeable to tax are not required
to be reported under Form 15CA.
Rule 37BB is amended and new
Forms 15CA and 15CB have been prescribed in suppression of the earlier Forms. The
new Forms provide for two categories (.i.e., Part A and Part B of Form 15CA) on
which remittances are required to be reported. It provides that only taxable
remittances (including salary or interest) are required to be reported in Form 15CA.
Limit up to which remittances are required to be reported in part A of Form 15CA
remains unchanged (the same limit was prescribed by the Twelfth Amendment Rules)
and other taxable remittances (not covered in part A) are required to be
reported in part B. Specified list (provided under Rule 37BB) is further
amended and remittance covered by that list isn’t required to be reported at
all.
Before the Twelfth Amendment
Rules, the payers were required to submit the remittance details in Form 15CA
and they were also required to obtain certificate under Form 15CB, notwithstanding
whether the payee was liable to tax in India or not? Then Twelfth Amendment
Rules extended some relaxation and provided immunity from obtaining certificate
under Form 15CB for certain remittances. Now Fourteenth Amendment Rules provide
exemption from filing of Form 15CA if remittance is not chargeable to tax in
the hands of payee, it also provides immunity from obtaining Form 15CB if the
taxable remittances are covered by Part A of new Form 15CA.

Part B of Form 15CA as
prescribed by the Twelfth Amendment Rules has been removed by Fourteenth
Amendment Rules from the new Form 15CA. Part C of Form 15CA as prescribed by
the Twelfth Amendment Rules has been taken in Part B of Form 15CA by Fourteenth
Amendment Rules.
Points of distinction
Old Form 15CA (Valid Up to Sep. 30, 2013)
Amended Form 15CA (It isn’t valid as it’s
superseded by new Form 15CA)
Further amended Form 15CA (Valid on or after Oct. 1,
2013)
Who shall have to fill
Form 15CA?
To be filled up by the
person responsible for making remittances to NR or foreign company
To be filled up by the
person responsible for making any remittances (including remittance not
chargeable to tax) to NR or foreign company
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 15CA
Who shall have to fill it
up?
To be filled up for all
remittances made to NR or to a foreign company
To be filled up if any
remittance to NR or foreign company does not exceed Rs. 50,000 per
transaction and the aggregate of such payments during the financial year
doesn’t exceed Rs. 2,50,000.
To be filled up if sum
which is chargeable to tax (including interest or salary) is remitted to NR
or foreign company which doesn’t exceed Rs. 50,000 per transaction and the
aggregate of such payments during the financial year doesn’t exceed Rs. 2,50,000
What information has to be
filled in?
(1) Particulars of remitter,
remittee and accountant to be specified;
(2) Principal place of
business of remitter and remittee to be specified.
(1) Particulars of remitter,
remittee, remittance made and TDS;
(2) Mandatory to furnish
PAN of remitter, if tax is deducted;
(3) Forms prescribe
mandatory application of provisions of Section 206AA, if remittance is
chargeable to tax and PAN of remittee is not available;
(4) E-mail and Phone Number
of remittee shall be furnished, if available
(5) Whether remittance is
chargeable to tax or not and if not, then the reasons thereof.
(1) Particulars of remitter,
remittee, remittance made and TDS;
(2) PAN of remitter, if
available;
(3) Forms prescribe
mandatory application of provisions of Section 206AA, if remittance is
chargeable to tax and PAN of remittee is not available;
(4) E-mail and Phone Number
of remittee shall be furnished, if available
(5) No information is to be
furnished if remittance isn’t chargeable to tax.
Conditions to be satisfied
The information shall be
furnished after obtaining certificate under Form 15CB
Certificate under Form 15CB
isn’t required to be obtained to furnish information in this part
Form 15CB isn’t required
to be obtained to furnish information in this part
Part B of Form 15CA
Who shall have to fill it?
All remitters filling Form
15CA
To be filled up if the
amount paid to non-resident or foreign company is:
(1) covered by specified
list (given in Explanation to Rule 37BB); and
(2) claimed to be not
chargeable to tax.
To be filled up if sum
remitted to NR or foreign company, is chargeable to tax (including interest
or salary) and:
(a) exceeds Rs 50,000 per
transaction; or
(b) the aggregate of such
payments during the financial year exceeds Rs. 2,50,000
Who aren’t required to
fill it?
All remitters filling Part
A of Form 15CA have to fill Part B
If remittance is covered
by part A or part C of Form 15CA
  ·  If
remittance is not taxable
  · If remittance (including
interest or salary) is chargeable to tax and is covered by part A of Form 15CA;
or
  ·  Remittance
is covered by specified list (given in Explanation to amended Rule 37BB)
Conditions to be satisfied
The information shall be
furnished after obtaining certificate under Form 15CB.
 · Income should not
be chargeable to tax and should be covered by specified list
 ·  Certificate
from accountant under Form 15CB isn’t required to furnish information in this
part
To be filled up after
obtaining:
  ·  Certificate
in Form No. 15CB; or
  · Certificate from
AO for deduction at lower rate or for proportionate deductions; or
  · Order from AO for Nil
deduction of tax.
What information has to be
filled in
Particulars of remittance
and TDS. Certain other details such as applicable DTAA, existence of PE, etc.
(As available in Form 15CB). This information is now sought in Part C of Form
15CAas amended on August 05, 2013 and in Part B of Form 15CA applicable from
October 1, 2013
(1) Details of remitter, remittee
and remittance;
(2) In addition, nature of
remittance, relevant Code of specified list (given in Explanation to
Rule 37BB) under which remittance is covered and information regarding the
country of residence of the remittee, if available;
(3) Form 15CB isn’t
required to be furnished if remittance is covered in this part.
(1) Details of remitter, remittee
and remittance;
(2) No information is to be
furnished on remittance covered by specified list, as such remittance isn’t
required to be reported in Form 15CA
(3) Information regarding
the country of residence of the remittee, if available;
(4) The appropriate
certificate is required to be furnished (as provided supra) including Form 15CB
(5) This Form provides for
mandatory application of provisions of Section 206AA, if remittance is
chargeable to tax and PAN is not available;
(6) Other particulars as
specified in Part C of old Form 15CA
Part C of Form 15CA
Who shall have to fill it?
Not applicable
To be filled up for
remittances other than those specified in Part A and Part B
Not applicable
What information has to be
filled in?
Not applicable
(1) Forms prescribe
mandatory application of provisions of Section 206AA, if PAN of remittee is
not available;
(2) Other details:
  – Section A: Details
of remitter, remittee and accountant to be specified in this section
  –  Section B: Particulars
of remittance and TDS (as per certificate of accountant), namely:
(a) Taxability under the
Income-tax Act,
(b) Taxability under the
relevant DTAA,
(c) Details of TRC
(3) Bifurcation of capital
gains, if any, into short-term, long-term capital gains and the basis of
arriving at taxable income.
All the particulars
specified in Part C of Form 15CA (prescribed by Twelfth Amendment Rules) are
included in part B of new Form 15CA, with an exception that no information
shall be required to be furnished regarding remittance which isn’t chargeable
to tax.
Conditions to be satisfied
Not applicable
The information specified
in this part shall be furnished after obtaining:
  · Certificate
in Form No. 15CB; or
  · Certificate
from AO for deduction at lower rate or for proportionate deductions; or
  · Order from AO
for Nil deduction of tax.
Not applicable (same was
provided for in Part B of Form 15CA)
Form 15CB
No major changes were made in
Form 15CB by Twelfth Amendment Rules and Fourteenth Amendment Rules.
Change in specified list (as
provided for in Explanation to the amended Rule 37BB)
Earlier income not chargeable
to tax and covered by specified list was required to be reported in Part B of
Form 15CA ( as per Twelfth Amendment Rules) but now all the remittances falling
under specified list aren’t required to be reported in Form 15CA.
Following categories of
remittances have been removed from specified list (Thus, they are required to
be reported in Form 15CA):
1.
Payment for life insurance
premium
2.
Other general insurance
premium
3.
Payments on account of
stevedoring, demurrage, port handling charges etc.
4.
Freight on imports – Airlines
companies
5.
Booking of passages abroad –
Shipping companies
6.
Freight on exports – Shipping
companies
7.
Freight on imports – Shipping
companies
8.
Payments for surplus
freight or passenger fare by foreign shipping companies operating in India.
9.
Imports by diplomatic
missions
10.
Payment towards imports-settlement
of invoice
11.
Advance payment against
imports
Summing up of Old viz-a-viz
new provisions
How remittances made to NR or
foreign company need to be reported under different situations as per old and
new Forms 15CA and 15CB are summarized in the following table:
Scenario
Form 15CA (Valid upto Sept. 30, 2013)
Form 15CA (It is not valid as it’s superseded by
new Form 15CA)
Form 15CA (Valid on or after Oct. 1, 2013)
If remittance isn’t chargeable to tax
(a) Single remittance doesn’t
exceed Rs 50,000; and
(b) Aggregate payment
during year doesn’t exceed Rs 2,50,000
To be reported in Part A
and Part B of Form 15CA
To be reported in Part A of
Form 15CA
Not to be reported at all
(1) Single remittance
exceeds Rs 50,000; and
(2) Aggregate payment
during year doesn’t exceed Rs 2,50,000
To be reported in Part A
and Part B of Form 15CA
To be reported in Part B of
Form 15CA if remittance is covered in specified list
Not to be reported at all
(1) Single remittance doesn’t
exceed Rs 50,000; and
(2) Aggregate payment
during year exceeds Rs. 2,50,000
To be reported in Part A
and Part B of Form 15CA
To be reported in Part B of
Form 15CA if remittance is covered in specified list
Not to be reported at all
If remittance is chargeable to tax (including
salary or interest)
(1) Single remittance doesn’t
exceed Rs. 50,000; and
(2) Aggregate payment
during the year doesn’t exceed Rs 2,50,000
To be reported in Part A
and Part B of Form 15CA
To be reported in Part A of
Form 15CA
To be reported in Part A of
Form 15CA
(1) Single remittance
exceeds Rs 50,000; and
(2) Aggregate payment
during year doesn’t exceeds Rs 2,50,000
To be reported in Part A
and Part B of Form 15CA
To be reported in Part C of
Form 15CA along with Form 15CB and other prescribed documents, if any.
To be reported in Part B of
Form 15CA along with Form 15CB and other prescribed documents, if any.
(1) Single remittance doesn’t
exceeds Rs 50,000; and
(2) Aggregate payment
during year exceeds Rs. 2,50,000
To be reported in Part A
and Part B of Form 15CA
To be reported in Part C of
Form 15CA along with Form 15CB and other prescribed documents, if any.
To be reported in Part B of
Form 15CA along with Form 15CB and other prescribed documents, if any.

 Courtesy: Taxmann.com
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