Form 15CA and 15CB Filing Services

Form 15CA is the declaration a person files online before sending money to a non-resident or abroad, and Form 15CB is the certificate in which a chartered accountant confirms how much tax, if any, must be deducted from that payment. From 1 April 2026, under the Income-tax Act, 2025, Form 15CA is called Form 145 and Form 15CB is called Form 146; the purpose and most of the process are the same. IMAK Advisory, an ICAI-registered CA firm in Bengaluru, examines foreign payments, issues the certificate and helps businesses, professionals and NRIs file the declaration so that the bank can remit without delay.

Banks will not process most foreign payments without these papers, and a wrong certificate can mean too little tax deducted, a disallowed expense, interest and penalties. This page explains when Form 15CA and 15CB (Form 145 and 146) are needed, the four parts of the declaration, how foreign remittance income tax India rules work for royalties, fees, interest, dividends and property sale money, how treaty benefits are claimed, the liberalised remittance scheme for individuals, NRO repatriation, and the remittance meaning in Tamil and the remittance meaning in Telugu for families who search in their own language.

• Review of each foreign payment: nature, taxability, treaty position and deduction rate
• Chartered accountant's certificate in Form 15CB (Form 146) with UDIN
• Declaration in Form 15CA (Form 145), in the right part
• Tax residency certificate, Form 10F and no-PE declarations checked
• TDS payment and quarterly TDS return for non-resident payments
• NRO repatriation papers for NRIs
• Purpose codes and bank documents

We work with your finance team, your bank and, where needed, the foreign party. Our job is to answer one question correctly – how much tax India can levy on this payment – and to put that answer into the form the bank needs.

1. Collect the invoice, agreement, earlier payments in the year and the payee's details
2. Decide the nature of the payment and whether it is taxable in India under the domestic law
3. Check the tax treaty with the payee's country, the tax residency certificate, Form 10F and any permanent establishment in India
4. Work out the deduction rate, surcharge and cess, and whether the tax is to be grossed up
5. Issue Form 15CB (now Form 146) online with our digital signature and UDIN
6. Help you file Form 15CA (now Form 145) in the right part using the certificate's acknowledgement number
7. Make sure the TDS is deposited and shown in the quarterly TDS return for non-resident payments
8. Keep a file of each payment for audit and assessment

The Income-tax Act, 2025 came into force on 1 April 2026 and replaced the 1961 Act. The rules for foreign payments moved with it. The questions are the same – is the payment taxable, at what rate, and has tax been deducted – but the section, rule and form numbers changed. Many people still search for Form 15CA and 15CB, and many banks still use the old names in their checklists, so this page uses both.

The date of the remittance decides which form applies. A payment made on 5 April 2026 for a service received in February 2026 is reported in the new forms. If a certificate was issued in March 2026 but the money left in April, it should be redone under the new law.

The declaration has four parts, and choosing the wrong one is the most common error we see. The part depends on whether the payment is taxable, how much has been paid to that person in the year, and whether you hold an order from the tax officer.

Part C is used most often by businesses, because most payments for software, services, royalties or interest cross ₹5 lakh in a year. The certificate is filed first, its acknowledgement number is entered in Part C, and the declaration is then submitted and verified. Neither form can be edited after submission; a wrong one has to be withdrawn within the short window allowed and filed again, and withdrawing Part C also cancels the linked certificate.

The certificate is the chartered accountant's professional opinion on the tax position of the payment. It is not a formality, and the accountant is personally answerable for it. Before signing, we check:

• The nature of the payment – royalty, fees for technical services, interest, dividend, business income, capital gains or something else
• Whether it is taxable in India under the Income-tax Act
• Whether a tax treaty applies, and whether its rate or definition is better for the payee
• Whether the payee has a permanent establishment or business connection in India
• The tax residency certificate and Form 10F
• The rate of deduction, surcharge and cess, and the amount of tax
• Whether the payer bears the tax, so that the payment must be grossed up
• The bank, currency, amount and proposed date of remittance

If the documents do not support a treaty claim, we certify at the domestic rate and say so. We do not sign a certificate that is reverse-engineered from the rate the payee wants.

The rule behind foreign remittance income tax India requirements is simple: anyone who pays a non-resident a sum that is taxable in India must deduct tax at the time of payment or credit, whichever is earlier, deposit it and report it. The declaration and certificate are how the tax department and the bank check that this was done. What is taxable depends on the nature of the payment and the treaty.

If tax is not deducted on a payment to a non-resident that was taxable, the payer can be treated as in default, pay interest, face a penalty, and lose the deduction for that expense in its own return until the tax is paid. These costs are usually far larger than the time spent getting the position right before payment.

India has tax treaties with most of its trading partners. A treaty can reduce the rate on dividends, interest, royalties and fees, or narrow what counts as taxable. To use a treaty rate, the payee must give a tax residency certificate from its country and the details required in Form 10F, filed online, and should confirm it has no permanent establishment in India. Since 2019 many treaties are also read with the Multilateral Instrument, which adds a principal purpose test: treaty benefits can be denied if obtaining them was one of the main purposes of the arrangement.

Where the payee has no PAN, the law can require a higher rate of deduction unless specified details – name, email, contact number, address, tax identification number and tax residency certificate – are provided. We collect these before the certificate is issued.

Many foreign suppliers insist on receiving the full invoice amount, with the Indian payer bearing the tax. In that case the tax is calculated on the grossed-up amount, not on the invoice value, and the payer's cost rises accordingly. The contract should say clearly who bears tax, and the grossed-up tax is the payer's cost, not a deduction from the supplier. We show the calculation in the certificate so the finance team can match the TDS return and the books.

Some payments are outside the reporting altogether. The rules contain a notified list of remittances, by purpose code, that do not need the declaration when they are not taxable in India – for example imports of goods, many travel and personal remittances, and payments by units in an International Financial Services Centre. Individuals sending money under the liberalised remittance scheme for permitted personal purposes, without needing the Reserve Bank's approval, are also generally outside it when the sum is not taxable in India.

The list is not a blanket exemption. Dividends, royalties, fees for services, interest and buy-back proceeds are not on it, and a payment that is taxable in India needs the declaration whatever its purpose code. Banks sometimes ask for a declaration even when it is not required; in that case a short note from us explaining why the payment is outside the reporting usually settles it.

The liberalised remittance scheme (LRS) is the Reserve Bank's framework that lets resident individuals, including minors through their guardians, send money abroad up to USD 2,50,000 per financial year for permitted current and capital account purposes. It covers education, travel, medical treatment, gifts, maintenance of close relatives abroad, emigration, and investment in foreign shares, funds and property, subject to the overseas investment rules. Remittances are made through an authorised dealer bank with PAN and Form A2.

Tax is collected at source by the bank on LRS remittances above a threshold, and the rate depends on the purpose. The amount collected is not an extra cost if you file your income-tax return: it is credited against your tax or refunded. From 1 April 2026, the rates for education and medical treatment were reduced, while investment and other purposes carry a higher rate above the threshold. We check the current rates with you before a large remittance, because planning the timing and the payer within the family can change the cash flow.

Two separate things happen when a resident individual remits abroad: tax collection at source by the bank, and the reporting requirement for payments to non-residents. For most personal remittances under the liberalised remittance scheme – a child's university fees, a family holiday, a gift to a relative abroad – the payment is not income of a non-resident that is taxable in India, so the declaration is not required. If an individual pays a foreign consultant, lawyer or designer for a service, that payment may be taxable in India, and the declaration and certificate can apply just as for a business.

• Education, travel, gifts and maintenance: TCS by the bank; usually no declaration
• Investment in foreign shares or property: TCS above the threshold; usually no declaration; overseas investment rules apply
• Payment for a service from a non-resident: may need deduction of tax, the certificate and the declaration
• Purchase of property abroad: check the overseas investment rules and the source of funds

NRIs can repatriate up to USD 1 million per financial year from their NRO account balances – which may include rent, pension, dividends, inheritance and the sale proceeds of property – after paying the tax due. For these transfers, banks ask for the declaration and, above the threshold, the chartered accountant's certificate showing that tax has been paid or deducted. NRE and FCNR accounts are fully repatriable and do not need these papers for moving their own balances.

1. List the sources of the NRO balance for the year
2. Confirm tax deducted by tenants, buyers or banks, and any tax still payable
3. For property sale proceeds, keep the sale deed, TDS certificate and capital gains working
4. Obtain the certificate and file the declaration
5. Submit the papers to the bank with Form A2 and the repatriation request

An NRI selling property in India often finds that the buyer deducted tax on the whole sale price. A lower deduction certificate obtained before the sale avoids this; after the sale, the excess can only be recovered through the income-tax return. We plan the sale, the certificate and the repatriation together.

Remittance means money sent from one person or place to another, usually across a border – for example, a salary earned in Dubai sent home to Chennai, or school fees sent from Hyderabad to a university in Canada. Money coming into India is an inward remittance; money leaving India is an outward remittance. Form 15CA and 15CB apply to outward remittances to non-residents.

The remittance meaning in Tamil is பணம் அனுப்புதல் (panam anuppudhal – sending money), and a transfer of money is also called பணப் பரிமாற்றம் (panap parimaatram). The remittance meaning in Telugu is డబ్బు పంపడం (dabbu pampadam – sending money), and a money transfer is also called నగదు బదిలీ (nagadu badili). Bank forms in India are in English or Hindi, so it helps to know that the word "remittance" on a bank slip means the same thing.

For families in Tamil Nadu, Andhra Pradesh and Telangana with relatives working abroad, the common question is whether money received from them is taxed. Money sent by an NRI to a relative as a gift is generally not taxable for the relative in India. Money received from a person who is not a relative may be taxable if gifts from non-relatives exceed ₹50,000 in the year. Income that the NRI earned abroad is generally not taxable in India while the NRI remains non-resident, but income earned in India – rent, interest on NRO deposits, capital gains – is.

Every foreign remittance carries a purpose code that tells the Reserve Bank what the payment is for. Outward remittances use S-codes (for example, a code for import payments, one for software services, one for royalty), and inward remittances use P-codes. The purpose code on Form A2, the nature of payment in the certificate and the description on the invoice should all match. Mismatches lead to queries, and in some cases the bank refuses to remit until the papers are corrected.

For exporters of services, the inward remittance certificate or bank advice with the right purpose code is also the evidence of export for GST. A wrong code on an inward remittance can delay a GST refund claim, so we check both directions when we review a client's foreign payments.

Businesses that pay the same foreign suppliers every month – cloud services, software licences, overseas contractors, group service charges – gain the most from planning once a year. At the start of the year we list each recurring payee, the type of payment, the treaty position, the expiry date of each tax residency certificate and the expected total for the year. Where the total will cross ₹5 lakh, the certificate route is planned from the first payment rather than discovered halfway through the year. The opinion for each payee is reviewed when the contract changes, when the supplier starts work in India, or when a court ruling or amendment changes the position. This keeps the declarations, the TDS returns, the books and the transfer pricing file consistent, and it means the bank receives the same, complete set of papers every month.

• Invoice and agreement or purchase order
• Payee's name, address, country and tax identification number
• Tax residency certificate and Form 10F of the payee, where a treaty is claimed
• No-PE and beneficial ownership declarations, where relevant
• Earlier payments to the same payee in the year
• Bank name, branch, currency and expected date of remittance
• Payer's PAN and TAN, and access to the income-tax portal
• For NRIs: NRO statement, sale deed, TDS certificates and capital gains working

1. Share the invoice and agreement – we confirm the nature of the payment and taxability
2. We tell you the deduction rate and the tax amount, and whether grossing up applies
3. You deposit the tax with your TAN, or we prepare the challan with you
4. We issue Form 15CB (now Form 146) online and send you the acknowledgement
5. You file Form 15CA (now Form 145) Part C with that number, or we help you on a call
6. You give the bank both acknowledgements with Form A2
7. We include the payment in the quarterly TDS return for non-resident payments

For businesses with regular foreign payments, we set up a payee file with treaty documents, renewal dates for tax residency certificates and a standard opinion for each recurring type of payment. Each new remittance then takes less time.

We do not publish fees. The cost depends on the number of remittances, whether the payment type is routine or new, the treaty analysis needed, whether TDS returns are included and, for NRIs, the work on capital gains and repatriation. Our team shares the exact total after reviewing your requirements.

A Startup Paying for Overseas Software

A startup paid a US company for a cloud subscription and was told by its bank to get a certificate. Reviewing the contract showed it was a subscription with no transfer of rights. The certificate recorded the payment as not taxable in India under the treaty, and the declaration was filed in Part C. The same opinion was reused for later monthly payments.

An Exporter Paying a Foreign Sales Agent

An exporter paid commission to an agent in Germany who worked only outside India. The analysis showed the commission was not taxable in India, so no tax was deducted, and the papers were kept for assessment. When the agent later started visiting Indian customers, the position was reviewed again.

An NRI Repatriating Sale Proceeds

An NRI sold a flat in Bengaluru, and the buyer deducted tax on the full price. The capital gains working showed a much lower tax. The certificate was issued for repatriation through the NRO account, and the excess tax was claimed as a refund in the income-tax return.

• Filing the declaration in the wrong part
• Issuing the certificate after the money has already gone
• Claiming a treaty rate without a tax residency certificate or Form 10F
• Ignoring earlier payments to the same payee when testing the ₹5 lakh threshold
• Treating a service payment as an import of goods
• Forgetting to gross up when the payer bears the tax
• Not depositing the tax or not reporting it in the TDS return
• Using the old form names for remittances after 1 April 2026
• Wrong purpose code on Form A2

Payments to Group Companies

Payments to a foreign parent or associate for services, royalty or interest need the tax position and transfer pricing to agree. The certificate should not contradict the benchmarking in the transfer pricing file.

Advance Payments

Tax must be deducted at the time of credit or payment, whichever is earlier, so an advance to a foreign supplier for a taxable service needs the same papers.

Refund of Advance or Excess Payment

Returning money received from a foreign customer is usually not income of the customer, but the bank may still ask for papers; we document why.

Partners, Directors and Employees Abroad

Salary, commission or sitting fees paid to a non-resident director or employee need the tax position checked under the treaty and the domestic law.

Equalisation Levy

The levy on online advertising payments was abolished from 1 April 2025; older periods still need the right records.

• We do not sign a certificate without seeing the agreement, invoice and treaty documents
• We do not certify a rate the facts do not support
• We do not advise on splitting payments to stay under the ₹5 lakh threshold
• We are not a bank and cannot approve or speed up a remittance
• We do not arrange money transfers, forex or investment products
• We do not use informal channels or advise on them

If you are a resident individual sending money for your child's education, a holiday or a gift under the liberalised remittance scheme, your bank handles the process and you do not need a chartered accountant's certificate. If your payment is an import of goods with a bill of entry, or is on the notified list and not taxable in India, no declaration may be needed at all. And if your payments to a non-resident in the year stay within ₹5 lakh, you can file Part A of the declaration yourself.

1. What exactly are you paying for?
2. Is there a written agreement, and who bears the tax?
3. Which country is the payee resident in, and does it have a treaty with India?
4. Has the payee given a tax residency certificate and Form 10F?
5. How much have you already paid this payee in the year?
6. Does the payee have any office, staff or agent in India?
7. Which bank will remit, and when?

Foreign payment files include contracts, prices and bank details. As chartered accountants we follow ICAI's confidentiality rules. Access is limited to named team members, and we share documents only with your bank and with your approval.

Use this list for every foreign payment before the money leaves India.

• Nature of payment confirmed from the agreement and invoice
• Taxability under domestic law and treaty checked
• Tax residency certificate and Form 10F received where a treaty is claimed
• Deduction rate and grossing up worked out
• Tax deposited with the correct challan
• Form 15CB (now Form 146) issued, where required
• Form 15CA (now Form 145) filed in the right part
• Purpose code on Form A2 matches
• Payment included in the TDS return
• File kept for assessment

Our only office is in Whitefield, Bengaluru, where clients can meet us in person. The certificate and declaration are filed online, so we work with businesses and NRIs in every state and with their banks wherever they are. We do not have offices outside Bengaluru.

What is Form 15CA?

It is the payer's online declaration of a payment to a non-resident, filed before the remittance. From 1 April 2026 it is called Form 145.

What is Form 15CB?

It is a chartered accountant's certificate on the taxability of the payment and the tax to be deducted. From 1 April 2026 it is called Form 146.

Are Form 15CA and 15CB still used after 1 April 2026?

The old names are still widely used, but remittances from 1 April 2026 are reported in Form 145 and Form 146 under the Income-tax Act, 2025.

When is Form 15CB needed?

When a taxable payment to a person in the year exceeds ₹5 lakh and you do not hold an order from the tax officer on the deduction rate. The declaration is then filed in Part C.

Is Form 15CA needed for payments not taxable in India?

Part D is filed for such payments, unless the payment is on the notified list, in which case no declaration is needed.

Do I need Form 15CA under the liberalised remittance scheme?

Usually not for personal remittances such as education, travel or gifts that are not taxable in India. The bank collects TCS where applicable.

What is the liberalised remittance scheme limit?

Resident individuals can remit up to USD 2,50,000 per financial year for permitted purposes under the liberalised remittance scheme.

How does foreign remittance income tax India work for businesses?

A business paying a non-resident a sum taxable in India must deduct tax, deposit it, report it and file the declaration and, where required, the certificate before remitting.

What is the remittance meaning in Tamil?

பணம் அனுப்புதல் (panam anuppudhal), meaning sending money; a money transfer is also called பணப் பரிமாற்றம்.

What is the remittance meaning in Telugu?

డబ్బు పంపడం (dabbu pampadam), meaning sending money; a money transfer is also called నగదు బదిలీ.

Can a treaty rate be used without a tax residency certificate?

No. The payee must provide a tax residency certificate and the details in Form 10F to claim a treaty rate.

Can Form 15CA be revised?

It cannot be edited after submission. It can be withdrawn within the short period allowed and filed again.

How much can an NRI repatriate from an NRO account?

Up to USD 1 million per financial year from NRO balances, after tax, with the declaration and certificate where required.

Who bears the tax if the foreign supplier wants the full amount?

The Indian payer, and the tax is calculated on the grossed-up amount. The contract should say who bears tax.

Is money sent by an NRI to family taxable?

A gift from a relative is generally not taxable for the receiver in India. Gifts from non-relatives above ₹50,000 in a year can be taxable.

How much does Form 15CA and 15CB filing cost?

We do not publish fees. The cost depends on the number and type of payments, treaty analysis and any repatriation work, and our team shares the exact total after reviewing your requirements.

FEMA and FDI Compliance · NRI Taxation · TDS and TCS · Transfer Pricing · International Taxation · Import Export Code

Share the invoice, agreement, payee details and bank, and the amount already paid to the payee this year. Our team will confirm the tax position and the papers the bank needs.

Contact Details

Office Address

IMAK Advisory, ITPL Main Rd, Pattandur Agrahara, Whitefield, Bengaluru, Karnataka 560066, India

Phone

+91 79798 50684 (call or WhatsApp)

Email

imakadvisoryteam@gmail.com

Sources: Income-tax Act, 2025 (section 397(3)(d)) and Income-tax Rules, 2026; Income-tax Act, 1961 (section 195(6)) and rule 37BB for earlier remittances; Reserve Bank Master Direction – Liberalised Remittance Scheme; FEMA (Remittance of Assets) Regulations for NRO repatriation; income-tax e-filing portal guidance on Forms 145 and 146. Checked 2 November 2026.