CBDT has again changed the Rule 37BB of Income Tax Rule and \the new rule will help the Indian Parties remitting/paying the monies to foreign persons/companies. Now it has been provided that in case of 28 types of payments , there shall be no need to submit Form 15CA or obtaining Form 15CB.
What are the List of Payments Exempt from Filing of Form 15CA?
The Rule 37BB also contains a Specified List on which Rule 37BB(1) does not apply. This is cleared in the Rule itself by adding an explanation 2 as under
Explanation 2.—For the removal of doubts, it is hereby clarified that for payments of the nature specified in column (3) of the specified list below, no information is required to be furnished under sub-rule (1).
Here is the list of 28 Types of Payments
SPECIFIED LIST:
|
Sl. No. |
Purpose code as per RBI |
Nature of payment |
|
1 |
S0001 |
Indian investment abroad -in equity capital (shares) |
|
2 |
S0002 |
Indian investment abroad -in debt securities |
|
3 |
S0003 |
Indian investment abroad -in branches and wholly owned subsidiaries |
|
4 |
S0004 |
Indian investment abroad -in subsidiaries and associates |
|
5 |
S0005 |
Indian investment abroad -in real estate |
|
6 |
S0011 |
Loans extended to Non-Residents |
|
7 |
S0202 |
Payment for operating expenses of Indian shipping companies operating abroad. |
|
8 |
S0208 |
Operating expenses of Indian Airlines companies operating abroad |
|
9 |
S0212 |
Booking of passages abroad – Airlines companies |
|
10 |
S0301 |
Remittance towards business travel. |
|
11 |
S0302 |
Travel under basic travel quota (BTQ) |
|
12 |
S0303 |
Travel for pilgrimage |
|
13 |
S0304 |
Travel for medical treatment |
|
14 |
S0305 |
Travel for education (including fees, hostel expenses etc.) |
|
15 |
S0401 |
Postal services |
|
16 |
S0501 |
Construction of projects abroad by Indian companies including import of goods at |
|
17 |
S0602 |
Freight insurance – relating to import and export of goods |
|
18 |
S1011 |
Payments for maintenance of offices abroad |
|
19 |
S1201 |
Maintenance of Indian embassies abroad |
|
20 |
S1202 |
Remittances by foreign embassies in India |
|
21 |
S1301 |
Remittance by non-residents towards family maintenance and savings |
|
22 |
S1302 |
Remittance towards personal gifts and donations |
|
23 |
S1303 |
Remittance towards donations to religious and charitable institutions abroad |
|
24 |
S1304 |
Remittance towards grants and donations to other governments and charitable institutions established by the governments. |
|
25 |
S1305 |
Contributions or donations by the Government to international institutions |
|
26 |
S1306 |
Remittance towards payment or refund of taxes. |
|
27 |
S1501 |
Refunds or rebates or reduction in invoice value on account of exports |
|
28 |
S1503 |
Payments by residents for international bidding”. |
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