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 |
|
| In Part B of 15CA |
|
| In Part C of 15CA |
|
| In Part D of 15CA |
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
- Remittance is made by an individual and it does not require prior approval of RBI under the provision of FEMA, OR
- 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)
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