Is Form 15 CA required to be filed in case payments are made to foreign company in indian currency at indian bank. Further Such foreign company is having PAN and Permanent Establishment in India ie. branch office.
shashank (no) (70 Points)
06 September 2014Is Form 15 CA required to be filed in case payments are made to foreign company in indian currency at indian bank. Further Such foreign company is having PAN and Permanent Establishment in India ie. branch office.
mahalakshmi grandhi
(ARTICLE ASSISTANT)
(27 Points)
Replied 06 September 2014
Form 15CA clearly states that it needs to be filled only if the remittance is chargeable to tax in India. Means Form 15CA is not required to be filled if the remittance/ payment to non-resident are not chargeable to tax. However the confusion has been created to Banks since a list has been provided in Rule 37BB where no information in Form 15CA is required and therefore except for the items provided in the list, Banks are insisting for Form 15CA even though the payment is not chargeable to tax. In such cases, the possible recourse is to submit a declaration in form of a note to Bank stating the nature of remittance and reason as to why it is not chargeable to tax and consequently exempted from the submission of Form 15CA .
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