1.When a resident wants to transfer funds to his own foreign bank account pay TCS applicable (LRS scheme) or there is an option to file 15CA Part D. If bank insists in 15CB will the CA mention TDS amount nil for the income if tax is already paid.
2. When a nri wants to transfer funds to his own foreign bank account. If TDS paid under section 195 for sale of immovable property what will the CA mention in his 15CB as nil or 15CA part D is sufficient.
I'll address both questions: Question
1: Resident Transferring Funds to Own Foreign Bank Account
1. *TCS Applicability (LRS Scheme)*: Under the Liberalized Remittance Scheme (LRS), a resident can transfer funds to their own foreign bank account.
However, the bank may deduct Tax Collected at Source (TCS) at a rate of 5% (or 10% if the PAN is not provided) if the remittance exceeds ₹7 lakhs in a financial year.
2. *Option to File 15CA Part D*: If the resident has already paid tax on the income, they can file Form 15CA Part D, which is a declaration that the tax has already been paid.
In this case, the bank may not deduct TCS.
3. *Bank Insists on 15CB*: If the bank insists on Form 15CB, the Chartered Accountant (CA) will mention the TDS amount as "nil" if tax has already been paid on the income. Question
2: NRI Transferring Funds to Own Foreign Bank Account 1. *TDS Paid Under Section 195*: If an NRI has paid TDS under Section 195 on the sale of immovable property, they can claim a refund or adjust it against their tax liability.
2. *CA's Mention in 15CB*: In Form 15CB, the CA will mention the TDS amount as "nil" if tax has already been deducted under Section 195.
3. *15CA Part D Sufficient*: If the NRI has already paid TDS under Section 195, filing Form 15CA Part D may be sufficient, and the CA's certificate in Form 15CB may not be required.
If the NRI has already paid TDS under Section 195 for the sale of immovable property, then Form 15CB is not required as long as there are no further deductions or compliance issues. Form 15CA Part D would be sufficient for the bank, as it certifies that the NRI has complied with all tax obligations.
However, if the bank insists on Form 15CB, the CA will mention TDS as nil in the form, as the tax has already been paid.
To streamline such filings, you can use our Excel-based utility to generate Form 15CA/15CB XML in bulk, which helps save time and avoids errors during filing.
Bulk XML generation from Excel
Supports all parts – A, B, C, D & CB
Portal-compliant and easy to use
Download here: https://xltool.in/15ca-15cb/ | www.xltool.in
SMJ global advisors pvt ltd
New Delhi
B.Com
View Details
CAclubindia
