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Form 15cb query!!!!!!

CA. Kunal Lakhotia (ACA) (1006 Points)

29 January 2013

My client has to make a remittance abroad for the training and travelling expenses of the foreign company, so do I need to furnish my client Form 15CB, or should my client apply to his AO for determination of amt. as whole amt. is not chargeable to tax. Please reply asap.

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9 Replies

Rahul (CA Practice ) (1818 Points)
Replied 29 January 2013

If it is a reimbursement, then there is no need to apply to AO under section 195(2), provided you have all the relevant supporting. For Example, if the remmitance is for USD 100, then bills should be available for USD 100, No markup should be added on that amount.

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Lokesh Poddar (Executive) (55 Points)
Replied 29 January 2013

Withholding tax is applicable on training expenses, Reimbursement of travelling expenses is not liable to tax. Form-15CB shall be incorporated while remittance along with Form-15CA. Tax can be deposit on 7th of the next month.

CA Prashant Gupta (DGM (F & A)) (14068 Points)
Replied 29 January 2013

give your client 15CB. as it is reimbursement no TDS applicable

then submit 15CA online

CA. Kunal Lakhotia (ACA) (1006 Points)
Replied 29 January 2013

client doesnt have the Travel Receipt, If he makes the payment without deducting TDS now and gets the receipt later from foreign company, then its ok??

CA Prashant Gupta (DGM (F & A)) (14068 Points)
Replied 29 January 2013

if it is confirm that you will get receipt then in practical it is OK

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CA. Kunal Lakhotia (ACA) (1006 Points)
Replied 29 January 2013

IS THE INCOME TAXABLE IN iNDIA?( a clause in Form 15CB).. as only $1000(training fees) are liable to TDS and not $2000(traveling expenses)

CA BARKHA MITTAL (B.COM, CA) (149 Points)
Replied 29 January 2013

Form 15CA & CB both should be made on every foreign remittance whether amount is taxable or not. Reimbursement of expenses is not taxable therefore will not be entitled for deduction of TDS. Mention in 15 CA & CB clause in which your transaction falls of DTAA in between India & the country in which remittance is being made. Mention rate 0% TDS in 15CA & give reasons for not deduction of TDS.

vijay sharma (Sr. Accountant) (230 Points)
Replied 30 January 2013

Yes.. I agreed with Barkha Mittal.

Roodita Gaikwad (Practice) (4650 Points)
Replied 22 April 2025

In this case, Form 15CB is typically required when making remittances to a foreign company if the payment exceeds ₹5 lakh and is subject to TDS under Section 195. However, since the whole amount is not chargeable to tax, your client may apply to the Assessing Officer (AO) for a determination of the amount, which may lead to exemption from TDS.

If the AO determines that no tax is applicable, your client will not need to file Form 15CB. However, if tax is applicable, Form 15CB will be required for certification by the Chartered Accountant regarding the TDS deduction.

To simplify the process, you can use our Excel-based utility to generate Form 15CA and 15CB XML in bulk, ensuring correct compliance.