15CA / 15CB Form
It is not just individuals who are required to ensure that all the essential and accurate procedures are followed and forms are submitted for filing taxes. Banks and Financial Institutions are also deemed to follow specific rules that would give the Income Tax Department the upper hand when it comes to determining the taxable amounts of Non-Resident Indians. This article talks about Income Tax Form 15CA which banks utilise to report the payments chargeable to tax.
Form 15CA
Income Tax Form 15CA is a declaration of a remitter and is used as a medium to collect information regarding the payments which are chargeable to tax in the hands of a recipient non-resident. This Form helps the Income Tax Department to keep track of foreign remittances and their taxability. As per Income Tax Rule 37BB, it is the responsibility and the duty of authorised banks or dealers to ensure that they obtain such forms from a remitter.
Income Tax Form 15CA is required to be filed only if the remittances is chargeable to tax within India. If the remittances or payment is not liable to Non-Resident Indians, then the Form 15CA is not required to be filed.
However, a customer may submit a declaration in the form of a note to the bank stating the nature of the payment and the reason as to why the same is not chargeable under tax in order to be exempted from the submission of Form 15CA.
Form 15CB – Income Tax
Certificate of an accountant ascertaining the nature of remittance and for determining the rate of deduction of tax at source as per provisions of Chapter- XVII-B.
Income Tax Form 15CB is a form that is required to be signed by a Chartered Accountant in order to obtain a certification concerning the rates and the relevant taxes paid by a taxpayer. Form 15CB is essential as it comprises of specific details that are required while filing Income Tax Form 15CA. This article talks about the various essentials of Income Tax Form 15CB and other information surrounding the same.