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Requirement to submit Form 15CA/CB
Effective June 1, 2015, any person making a payment outside shall be required to furnish Form 15CA/CB whether or not such payemnts are chargeable to tax in India or not.

Finance Act, 2015 has modified Section 195 of the act to provide that information in prescribed form be furnished to Income Tax Department for all payments made to non-residents whether or not such payments are chargeable to tax in India. Further, a penalty under Section 271-I of Rs. 1,00,000 will become applicable on the assessee where such information is not furnished. 

These provisions have come into effect from June 1, 2015. Hence, effective June 1, 2015, any person making a payment outside shall be required to furnish Form 15CA/CB. 

However, corresponding changes have not been made in the Income Tax Rules. Accordingly, till date no forms have been specified for payments which are not chargeable to tax in India. Accordingly, payments such as towards import of goods, will not attract applicability of Form 15CA/15CB.

Posted on: 04-06-2015
Pages: 1