June 10, 2015

Is Form 15CA & 15CB Requirement Mandatory in case of Payments against Import of Goods?


The straight answer to this question is YES.

Section 195(6) was amended in the Finance Act, 2015 and accordingly, the Form 15CA and 15CB are mandatorily filed for all remittances to non-residents, whether chargeable to tax in India or not. All the assessees are required to submit Form 15CA and 15CB for all outward cross border remittances INCLUDING THOSE AGAINST IMPORTS with effect from 01.06.2015.


There is now 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.

You may click here for the format of Tax Residence Certificate/ PE Declaration to be received from Foreign Seller his letter head or with any variation as may be agreed with him.

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