Form 15CA/15CB Decision Tree

Form 15CA/15CB is required for remittances outside India to ensure that tax on the remittance has been paid or that no tax is deductible. The Authorised Dealer (AD) bank requires Form 15CA before processing the remittance.

AD bank (authorised dealer bank) must receive Form 15CA before processing SWIFT remittance. Without 15CA, bank cannot process the remittance.
Rule 37BB excluded categories — 33 categories
  • Import of goods into India (most common — no 15CA needed for normal imports)
  • Airline tickets for travel outside India
  • Shipping/freight on imports
  • Foreign education fees (if remittance is for tuition fee — not always excluded; check category carefully)
  • Remittances by individuals for personal purposes up to LRS limit (partially covered)
CA review

The full 28-category list is in CBDT Notification/Rule 37BB Schedule. Confirm current version of the Rule 37BB excluded list — the list has been amended multiple times since 2013. Also confirm: whether Rule 37BB excludes all individual LRS remittances or only specific categories. Individual remittances for personal purposes (education, medical, maintenance) may need Part A/B depending on nature. Note: the specified list was expanded to 33 items by the Income-tax (Fourteenth Amendment) Rules 2015 — verify the current count and exact entries against Rule 37BB(3) before advising.

Enter the aggregate remittance amount (₹) above — the route between Form 15CA Part A and Part C depends on whether it exceeds ₹5,00,000.

Determined route

Part A

Remittance does NOT exceed ₹5,00,000 per financial year (aggregate with previous remittances to the same payee in the FY) AND the payment is chargeable to tax in India

CA certificate required: No

File online without CA certificate. Simpler form.

CA review

Whether the ₹5L limit is per transaction or per FY aggregate — it is per FY aggregate with the same payee. Also: whether 'aggregate' includes payments made in prior months of the same FY — YES, all prior payments to the same non-resident in the same FY for the same nature are aggregated.

PAN requirement: If non-resident does not have Indian PAN, TDS must be deducted at 20% under s.206AA (or at higher applicable rate), even if DTAA provides a lower rate
TRC requirement: For DTAA benefit: non-resident must provide Tax Residency Certificate (TRC) from their country's tax authority. TRC required under s.90(4). Without TRC, domestic TDS rates apply (no treaty benefit).
CA review

Whether Form 10F must be filed by the non-resident on the Indian e-filing portal and whether that requires an Indian PAN — CBDT has clarified that non-residents can file Form 10F without PAN for treaty benefits, but the portal may still require registration. Confirm current CBDT position on non-resident Form 10F filing.

CA review

Form 15CA/15CB routing is highly transaction-specific. The excluded list (Rule 37BB) changes; DTAA positions on software royalty, FTS, and director fees are actively litigated. This tool provides a decision framework — Form 15CB from a CA with proper examination is mandatory for Part C remittances. Never remit without checking with AD bank if 15CA/15CB is required.

Statutory basis: Income Tax Act 1961 s.195(6); IT Rules 1962 Rule 37BB; Form 15CA (Parts A, B, C, D); Form 15CB (CA certificate); FEMA 1999

Common questions

Foreign remittances, statute-cited.

When is Form 15CA required before a foreign remittance?+

Form 15CA must be filed before remitting money abroad where the payment is chargeable to tax in India, under s.195 of the Income-tax Act 1961 read with Rule 37BB of the Income-tax Rules 1962. The AD bank will refuse the remittance without the 15CA acknowledgement (or a documented exemption). It is an event-based filing — every remittance, not a calendar schedule — which is what this decision tree walks you through.

When is Form 15CB from a CA required?+

Form 15CB is a certificate from a chartered accountant confirming the rate of tax and the income-tax position of the remittance — required under Rule 37BB for remittances above ₹5 lakh that are chargeable to tax (Part C of Form 15CA). Below the threshold and certain non-taxable payments take the Part A/B/D routes that need no CA certificate.

What is the difference between Parts A, B, C and D of Form 15CA?+

Rule 37BB of the Income-tax Rules 1962 splits Form 15CA into four parts: Part A for remittances not exceeding ₹5 lakh chargeable to tax (no 15CB); Part B where an order under s.195(2)/(3) or certificate under s.197 has been obtained; Part C for remittances above ₹5 lakh chargeable to tax, requiring Form 15CB; and Part D for remittances not chargeable to tax. Part D is often used for capital account remittances.

Are there remittances that need no Form 15CA at all?+

Yes — Rule 37BB(3) of the Income-tax Rules 1962 lists payments that are exempt from Form 15CA, including certain trade payments, remittances below ₹5 lakh by individuals, and specific categories such as payments to the government and certain international organisations (the specified list in Rule 37BB). If your remittance falls in that list you simply keep the evidence; the tree routes you there.

What is the penalty for incorrect or missing Form 15CA?+

Failure to file or an incorrect Form 15CA/15CB attracts a penalty of ₹10,000 per default under s.272B of the Income-tax Act 1961. The practical cost is higher: the AD bank holds the remittance, which can stall a foreign vendor payment, an overseas acquisition, or a dividend remittance at exactly the wrong moment.