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Query reg. form 15cb

Others 367 views 2 replies

Importer remitting USD for his import purchase. Banker is asking for Form 15CB. The payment is actually for an ECB ( ie)., to the foreign branch of a bank of Indian origin. This foreign branch has already paid the sum to the foreign supplier. Now it is receiving the amount from the Indian importer alongwith Interest.

Queries:

What name is to be filled up in the "Beneficiary" column? The supplier or the Bank name?

Is the interest component liable for TDS? If yes, can we use DTAA?

Replies (2)

Beneficiary = Recipient of remittance = Bank

Nature of payment = Repayment of ECB

TDS u/s 194LC @ 5% on interest

Thank you for your reply. Can I use DTAA to exempt the same from TDS ?


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