GST Plus - Get Daily updates,support, whatsapp Group & reply to GST Notices etc.!! Call : 011-411-70713 !!

ICICI

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More


CBDT vide its notification no 93/2015 dated 16th December 2015 substituted the old rule 37BB with entirely new rule 37BB. The new rule 37BB incorporates the following procedures for furnishing of declarations on foreign payments.

FURNISHING OF FORM 15CA

Information in Form 15CA, is to be furnished by any person who is responsible for making any payment –

1. To a non resident person, not being a company OR 
2. To a foreign company

Information it to be furnished in form 15CA as follows –

In Part A of 15CA
  • Payment to be made is chargeable under this act
  • Amount of payment (or aggregate of payment during FY) does not exceed Rs. 5 Lakhs. 
In Part B of 15CA
  • Payment to be made is chargeable under this act
  • Amount of payment (or aggregate of payment during FY) exceeds Rs. 5 Lakhs.
  • Payer has obtained a
    • Certificate from assesssing officer u/s 197
    • Order from Assessing Office u/s 195(2) or 195(3)
In Part C of 15CA
  • Payment to be made is chargeable under this act
  • Amount of payment (or aggregate of payment during FY) exceeds Rs. 5 Lakhs.
  • Payer has obtained a certificate in Form 15CB from a Chartered Accountant
In Part D of 15CA
  • Payment to be made is not chargeable under this act

Note: However declaration not required if RBI approval is not required. See “EXEMPTION FROM FURNISHING OF DECLARATION“

EXEMPTION FROM FURNISHING OF DECLARATION

Payer of foreign payment do not required to furnish Form 15CA if –

1. Payment to be made is not chargeable under the provision of Income Tax Act 1961 AND

2. Either of following is True

  1. Remittance is made by an individual and it does not require prior approval of RBI under the provision of FEMA, OR
  2. Remittance is of nature included in Specified List

SPECIFIED LIST

Specified List under new rule includes all entries of specified list under old rule. In addition new list also include some new payments.

Sl. No.

Purpose code as per RBI

Nature of payment

(1)

(2)

(3)

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

5 NEW ENTRIES – GIVEN IN THE END

11

S0011

Loans extended to Non-Residents

12

S0202

Payment- for operating expenses of Indian shipping companies operating abroad.

13

S0208

Operating expenses of Indian Airlines companies operating abroad

14

S0212

Booking of passages abroad -Airlines companies

15

S0301

Remittance towards business travel.

16

S0302

Travel under basic travel quota (BTQ)

17

S0303

Travel for pilgrimage

18

S0304

Travel for medical treatment

19

S0305

Travel for education (including fees, hostel expenses etc.)

20

S0401

Postal services

21

S0501

Construction of projects abroad by Indian companies including import of goods at project site

22

S0602

Freight insurance – relating to import and export of goods

23

S1011

Payments for maintenance of offices abroad

24

S1201

Maintenance of Indian embassies abroad

25

S1202

Remittances by foreign embassies in India

26

S1301

Remittance by non-residents towards family maintenance and-savings

27

S1302

Remittance towards personal gifts and donations

28

S1303

Remittance towards donations to religious and charitable institutions abroad

29

S1304

Remittance towards grants and donations to other Governments and charitable institutions established by the Governments

30

S1305

Contributions or donations by the Government to international institutions

31

S1306

Remittance towards payment or refund of taxes.

32

S1501

Refunds or rebates or reduction in invoice value on account of exports

33

S1503

Payments by residents for international bidding

5 NEW ENTRIES

7

S0101

Advance payment against imports

8

S0102

Payment towards imports-settlement of invoice

9

S0103

Imports by diplomatic missions

10

S0104

Intermediary trade

11

S0190

Imports below Rs.5,00,000-(For use by ECD offices)

QUARTERLY STATEMENT TO BE FURNISHED BY AUTHORISED DEALER

Under the new procedures authorised dealers are also required to furnish a quarterly statement for each quarter of the financial year. A new Form 15CC is notified in this behalf.

PROCEDURE FOR FURNISHING OF DECLARATION

Procedure for Form 15CA

At first information in Form 15CA shall be furnished electronically (With or Without Digital Signature) in accordance with the procedures, formats and standards to be specified by the Principal DGIT(S)

Thereafter printout of the said form shall be submitted to the authorised dealer, prior to remitting the payment. Printout is to be signed by the remitter if E Form was furnished without Digital Signature.

Procedure for Form 15CB

Certificate in Form No. 15CB shall be furnished and verified electronically in accordance with the procedures, formats and standards specified by the Principal DGIT(s)

Procedure for Form 15CC

Quarterly statement in Form 15CC is to be furnished electronically under digital signature within 15 days from the end of the quarter of the financial year to which such statement relates in accordance with the procedures, formats and standards specified by the Principal DGIT(S)

"Loved reading this piece by CA Prateek Garg?
Join CAclubindia's network for Daily Articles, News Updates, Forum Threads, Judgments, Courses for CA/CS/CMA, Professional Courses and MUCH MORE!"




Tags :



Category Income Tax, Other Articles by - CA Prateek Garg 



Comments


update