Certificate Form 15CA CB for making payments abroad

Certificate Form 15CA CB for making payments abroad

Generally, 15CA CB is not necessary to make a payment abroad in the event that costs fall below the defined limit. That’s because you’re a member of the Remittee. In the case of rent charged to NRIs / foreign vendor, Pursuant to Section 195 of the Income Tax Act 1961, any person liable for making a payment to non-residents shall subtract TDS at the rates in place from the payments rendered or credits granted to non-residents. The Reserve Bank of India also requires that, with the exception of such personal remittances that have been expressly removed, no remittances should be rendered to a non-resident without sending an undertaking in Form 15CA followed by an accountant’s certificate in Form 15CB, Remember that this is

  • Individuals making payment for bills/invoices must apply Form 15CA to the income tax portal each time before paying for the excess of expenses.
  • In fact, if the cumulative amount to be made each year reaches Rs 5 lakh, the Remitter must receive Form 15CB from the Chartered Accountant.

When you make a payment to a foreign seller, it is your duty to figure out if the Remittee is an NRI. This makes it easier for you to subtract TDS for the invoice to be received and to comply with the Income Tax Act. The aim of this undertaking and credential is to raise taxes as the remittance is made, because it will not be practicable for the non-residents to reclaim the tax at a later date. The format of the undertaking to be registered electronically in Form 15CA and the format of the Accountant’s certificate in Form 15CB were notified vide Rule 37BB of the Income Tax Rules 1962

Revised guidelines on filing forms 15CA and 15CB

The latest guidelines to register electronic forms 15CA and 15CB are valid as of 1 April 2016. The comprehensive procedure for filing the form as per requirement is focused on new laws that follow. The income tax department has updated the rules governing the preparation and delivery of Form 15CA and Form 15CB (see previous Form 15CB regulations). As of 1 April 2016, updated rules became applicable.

Major changes are as follows –

  • Form 15CA and 15CB shall NOT be needed to be submitted by a person for remittance which does not require RBI approval
  • List of payments of a defined nature referred to in Rule 37BB, which do not require the submission of Form 15CA and Form 15CB, has been extended from 28 to 33 including import payments
  • Form No. 15CB will only be needed for non-resident payments which are taxable and surpass Rs. 5 lakhs.
  • Only Part A of 15CA is required when the volume of payment or the number of these payments made during the financial year does not exceed five lakh rupees
  • Part B of 15CA to be filled in the event of receiving a certificate from the Assessing Officer pursuant to section 197 or an order from the Assessing Officer pursuant to subsection (2) or subsection (3) of section 195. For example, Form 15CB is not necessary if order or certificate is obtained from AO
  • Part C of 15CA may be filled out after a Chartered Accountant obtains a certificate in Form No. 15CB
  • Part D of Type No.15CA where there is some amount not paid under the terms of the Act. For eg, Form 15CB is not needed if the remittance is not taxable
  • 1 lakh penalty will apply for each non-filing default for 15CA / CB certification

Forms 15CA and 15CB are of considerable interest nowadays. We professional at least have to issue one Form 15CB on a routine basis and 15CA form is also to be generated on behalf by the professional. Form 15CA is a Remitter Certification that is used as a method for collecting data about transfers that are taxable in the hands of non-resident users. It begins with an effective information retrieval program that the Income Tax Department will use to track foreign remittances separately and their existence to assess tax liability. The mechanism for picking cases for scrutiny has dramatically deteriorated in modern times and without an inspection, there was no test to ensure that taxable foreign remittances were made after-tax deduction or not. So the remittance path, i.e. Banks were led to acquiring Form 15CA and Form 15CB before allowing any remittance.

Authorized Dealers / Banks are now becoming more cautious in ensuring that all these Forms are collected by them before they are remitted, as now, in accordance with the revised Rule 37BB, they are expected to file Form 15CA obtained from the remitter, with the income tax authority for any proceedings under the Income Tax Act and also with the revised FEMA Guidelines released. In this regard, as per the updated RBI Guidelines, The RBI does not provide guidelines on the deduction of tax on international remittances at the source. The banks, therefore, encourage remitters to have these Type 15CA and 15CB even while buying imports.

Here’s an effort to render a detailed checklist/procedure for furnishing Form 15CA and Form 15CB effectively.

Step by step Process to File Form 15CA and 15CB all online summation with effect from April 1, 2016

Steps for procedures: We are used to helping our clients in transferring funds from India to out of India after Satisfy the sources and taxability of the fund, below four Steps for procedures which is needed to follow:

  1. Obtain Chartered Accountant (CA) Certificate in Form 15CB – CA must verifying (though his own procedures) the source is determining the sources of funds is the TDS is properly deducted on such source,
  2. Submit Form 15CA online,
  3. Submit documents to Bank where NRE accounts kept
  • Form 15CA
  • Form 15CB
  • Check (cheque) or Demand Draft for the amount
  • Request letter or Form as per respective bank’s requirement
  • Complete any other document, requirement or formality
  1. Transfer: On verification of submitted documents, Bank will process the transfer and credit NRE account.

Mandatory details required when filing in the forms 15CA and 15CB certification

1.     Details of Remitter
    • Complete Name of the remitter
    • Complete address, an email with the phone number of the remitter
    • permanent account number availability of the remitter
    • Complete Main place of business of the remitter
    • The E-Mail address and phone no. of the remitter
    • Status (today) of the person remitter the transaction  (company/ firm /other)
2.     Details of the Remittance
    • Proposed date of remittance
    • Nature of transaction as per agreement (invoice copy to be asked from client)
    • Source of fund proof (if any)
    • Country to and Currency in which remittance is made
    • Amount of remittance in Indian currency
3.     Bank details of the Remitter
    • Name of bank of the remitter
    • Name of the Bank with Branch details
    • BSR code of Bank from which remittance is to be made –
4.     Details of Remittee
    • Complete Name of the remittee :
    • Complete address, email with phone number of the remittee
    • Details of Country of the remittee (In which remittance is to be made)
    • Complete Main place of the business of the remittee
5.     Documents from the Remittee
    • Form 10F duly filled by the authorized person of the remittee.
    • Document of Tax residency certificate from the remittee (Tax registration of the country in which remittee is registered).
    • Section under which order/certificate has been obtained ( if any )
6.     Other details needed
    • Father’s name of the authorised person /signing person
    • Designation of the authorised person /signing person
    • Proof of payment of Tax on fund transfer from India,
    • Proposed date of remittance –
    • Complete name of such bank and branch –
    • Supporting Documents for Remittance
    • The digital signature of the person who required to fund Transfer,

If you’re searching for more current information on these forms, their processes or any enforcement relevant to them, our team of experts will support.

We will also assist you in setting up your business in India, including accounting, bookkeeping, payroll, auditing, valuation, secretarial compliances, trademark registration, market structuring, and consulting services. If you need some support in this regard please visit www.carajput.com

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

Complete Understanding about Form 15CA, Form 15CB

Complete Understanding about Form 15CA, Form 15CB

Form 15CA and 15CB: Complete Details With Examples

International transactions come with a lot of tax implications. And one often is absent on these.

Section 195 of the Income Tax Act specifies that we withhold tax on sums that are taxable under the Statute. And the banks maintain these databases for financial transactions. Additionally, anytime we make some payment to a non-resident, the bank tests whether or not we have paid duty. So for that dimension, they depend on Chartered Accountants certificates. We are sending this information to banks with Form 15CA and CB. Type 15 CB is usually prepared and approved by CA. This blog explains Applicability of Form 15CA and Form 15CB w.r.t Taxability under the IT Act, Overview of Section 9 and Documentation needed for Form 15CA and Form 15CB, What is necessary of Form 15CA and Form 15CB, What is Form 15CA and Form 15CB, Payment / Remittances does not require Form 15CA & Form 15CB, which requires Remitter information, Remittee information, Remittance details, Bank details of the Remittance.

What is Form 15CA?

Shape 15CA is remitter’s declaration. And a method used to collect information about payments made to non-residents. Indeed the form includes the remittance information. As well as the transaction’s tax details. In fact, whether or not the invoice is subject to vat.

Registered dealers and banks are now making sure we pay taxes on purchases that are made by them. And they are asking us to request these forms before the transaction is processed. They compile those forms and exchange them with the tax authority in addition.

This actually forms part of an Income Tax Department Information Management Framework. To assess tax responsibility, it monitors the overseas remittances and their existence. Department of Income Tax has also created an online facility to file these documents. Therefore we register Form 15CA with the IT department online. Though we are still printing and sharing the details with the bank / AD after submission online.

Difference Part in the Form 15CA

We divide form 15CA into 4 parts––

  • Section A:– Where the remittance or sum of these remittance will not surpass 5 lakh rupees during the F.Y. (Taxable, or not).
  • PART B: – Where the A.O. has obtained an order / certificate u / s 195(2)/195(3)/197 of the Income Tax Act; (If Nil or Lower rate certificate).
  • PART C: – Where, during the FY, the remittance or the sum of such remittance crosses 5 lakh rupees.
  • PART D: – Where the remittance is not tax-due

What is Form 15CB?

Form 15 CB is a certificate, and a Chartered Accountant is required to sign. The certificate sets down in detail the rates and taxes payable. Or in some situations, explanations why taxes are paid. All types have basically the same material. 15CB does require registration, however. We also file Form 15CB first as its acknowledgment number is provided while filling the Form 15CA.

Form 15CA CB Applicability

Whether furnishing forms 15CA & 15CB are required for each and every foreign transaction?

In addition, as per the Updated Income Tax Laws, we now only need Form No. 15CB for all taxable and exceeding Rs 5 lakhs payments.

The following types of transactions are not needed for the 15CA CB form:

  • An individual transaction that doesn’t need RBI permission.
  • Payments of a specified nature referred to in Rule 37BB (shared shortly below).However, we’ve heard of cases where banks still ask for a 15CA CB even when not needed. According to the Income Tax Rules, no filing is to be made in Form 15CA and 15CB in the case of the following type of international remittances (as provided for in Rule 37BB). See detailed list here.Link

Who is responsible for filing the Form 15CA and Form CB  

A person responsible of making the payment to a non-resident or a foreign corporation must have the following information –

Where payment is made below Rs 5 lakh

Information for these payments is provided in Part A of Form 15CA

Where payment crosses Rs 5 lakh

  • Part B of Form 15CA must be issued
  • CA’s certificate in Form 15CB
  • Part C of Form 15CA

Where the payment made is not taxable under The Act

  • Portion D of Form 15CA
  • In the following situations,

No information is needed where The remittance is made by an person and does not need prior approval by Reserve Bank of India [as provided for in Section 5 of the Foreign Exchange Management Act, 1999 (42 of 1999) read in Schedule III to the Foreign Exchange

Notes : We’ve heard of situations where banks are always calling for a 15CA CB even though they don’t need it. In the case of the following forms of foreign remittances (as provided for in Rule 37BB), no filing shall be made in Form 15CA and 15CB, in compliance with the Income Tax Laws. Click here for full list.

https:/www.incometaxindia.gov.in/Rules 20Rules/103120000000007406.htm

Revised rules on Form 15CA and Form 15CB submission

The new rules for filing electronic forms 15CA and 15CB are valid as of 1 April 2016. The comprehensive method of filing the form according to specifications is based on new regulations. The department of income tax has updated the rules on form 15CA and formula 15CB preparedness and application (see previous Form 15CB rules). From 1 April 2016, the new rules came into effect.

Significant changes/ revised rules are as follows –

  • Form 15CA and 15CB shall NOT be needed to be furnished for remittance by an person who does not need RBI approval
  • List of payments of a defined nature referred to in Rule 37BB, which do not need the submission of Form 15CA and Form 15CB, has been extended from 28 to 33, including import payments
  • Form No. 15CB is necessary only for payments made to non-residents which are taxable and surpass Rs. 5 lakhs.
  • Only Part A of 15CA is required when the volume of payment or the number of these payments made during the financial year does not exceed five lakh rupees
  • Part B of 15CA to be filled in the event of receiving a certificate from the Assessing Officer pursuant to section 197 or an order from the Assessing Officer pursuant to subsection (2) or subsection (3) of section 195. For example, Form 15CB is not necessary if order or certificate is obtained from AO
  • Part C of 15CA may be filled out after a Chartered Accountant obtains a certificate in Form No. 15CB
  • Part D of Form No.15CA for any amount not chargeable in compliance with the rules of the Statute. For eg, Form 15CB is not needed if the remittance is not taxable
  • 1 lakh penalty would apply for each non-filing default for forms 15CA / CB

Steps for certification procedures 15CA and 15CB:

15CA and 15CB Certification process: Steps for Procedures: We are used to assist our clients in transferring money from India to India after Fulfilling the Fund’s origins and taxability, below four Stages for Procedures to follow:

  1. Obtaining a Chartered Accountant (CA) Certificate in Form 15CB – CA must check (although its own procedures) that the source specifies the origins of funds if the TDS is correctly deducted from the flow;
  2. Upload Online Form 15CA,
  3. Send documentation to the bank holding NRE accounts
  • Form 15CA
  • Form 15CB
  • Check (cheque) or Demand Draft for the amount
  • Request letter or form as required by the respective bank
  • Complete all other papers, specifications or formalities
  1. Transfer: Bank must process the transfer and credit NRE account after review of submitted documents.

Mandatory details required when filing in the forms 15CA and 15CB certification

1.     Details of Remitter
    • Complete Name of the remitter
    • Complete address, email with phone number of the remitter
    • permanent account number availability of the remitter
    • Complete Main place of business of the remitter
    • E-Mail address and phone no. of remitter
    • Status (today) of the person remitter the transaction  (company/ firm /other)
2.     Details of the Remittance
    • Proposed date of remittance
    • Nature of transaction as per agreement (invoice copy to be asked from client)
    • Source of fund proof (if any)
    • Country to and Currency in which remittance is made
    • Amount of remittance in Indian currency
3.     Bank details of the Remitter
    • Name of bank of the remitter
    • Name of the Bank with Branch details
    • BSR code of Bank from which remittance is to be made –
4.     Details of Remittee
    • Complete Name of the remittee :
    • Complete address, email with phone number of the remittee
    • Details of Country of the remittee (In which remittance is to be made)
    • Complete Main place of the business of the remittee
5.     Documents from the Remittee
    • Form 10F duly filled by the authorized person of the remittee.
    • Document of Tax residency certificate from the remittee (Tax registration of the country in which remittee is registered).
    • Section under which order/certificate has been obtained ( if any )
6.     Other details needed
    • Father’s name of the authorised person /signing person
    • Designation of the authorised person /signing person
    • Proof of payment of Tax on fund transfer from India,
    • Proposed date of remittance –
    • Complete name of such bank and branch –
    • Supporting Documents for Remittance
    • A digital signature of person who required to fund Transfer,

If you are searching for more current information on these forms, their protocols or any related enforcement, our team of experts will assist you.

We will also assist you in setting up your business in India, including accounting, bookkeeping, payroll, auditing, valuation, secretarial compliance, trademark registration, market structuring, and consulting services. If you need support in this respect please visit www.carajput.com.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

Corporate and Professional Updates on 1st June 2019

Direct Tax Updates:

Image result for hd pics on direct tax
  • Delhi High Court restrained the Income Tax Department from taking any action against VVIP chopper deal scam accused Gautam Khaitan against whom a black money case has been lodged. Court said Khaitan, an advocate by profession, has made out a “good prima facie” case for grant of interim relief and grave prejudice would be caused to him if the authorities are not restrained at this stage from proceeding further. 
  • CBDT do not want to let go the Revenue Dues owed by Shell Companies that have been deregistered by the MCA. But the task is easier said than done, as it would mean the restoration of over 4,000 companies identified by the CBDT. The CBDT has been holding talks with the MCA over this.

Indirect Tax Updates:

Image result for indirect tax pics hd
  • The new option has been introduced wherein the consignment of one e-way bill has to be moved in multiple vehicles, after moving to transshipment place.
  • Different high courts in the country have given stay orders on several fiats of the National Anti-profiteering Authority (NAA) for the GST, casting doubts on the legal tenability of the way the nearly one-and-half-a-year-old set-up operates and passes orders on alleged cases of profiteering by businesses.A review by FE revealed that at least five firms have got reliefs from the high courts, in what allowed them to defer coughing up an aggregate amount of Rs 430 crore. 

RBI Updates:

Image result for rbi pics
  • Government is open to providing more powers to the RBI to direct lenders to take action on stressed assets. There is a growing view in the government that there has to be some regulatory supervision over debt resolution by the RBI.
  • RBI has asked NBFCs with asset size of more than Rs.5,000 crore to appoint a chief risk officer (CRO) with clearly specified role and responsibilities, in view of the increasing role in direct credit intermediation of these companies. The RBI directive comes in the backdrop of the IL&FS imbroglio and its ripple impact on NBFCs.
  • RBI wants NBFCs with assets of more than 5,000 Crore must appoint a Chief Risk Officer (CRO). It said that with the increasing role of NBFCs in direct credit intermediation, there is a need for NBFCs to Augment Risk Management Practices.
  • RBI Appointed Committee headed by Aadhaar architect Nandan Nilekani submits its suggestions on Promoting Digital Payments to RBI Governor Shaktikanta Das. The 5-member team was formed in January this year to consult with various stakeholders of the payments ecosystem and deliberate on solutions to further strengthen the industry

Other Updates:

  • MCA sees Rs 2.8 lakh cr recovery from IBC-led RP.
  • IOC to examine US sanction’s impact on CPCL plans
  • India may witness slowdown as oil imports decline
  • DoT to soon settle merger/transfer of licences in M&As
  • BoB looks to rationalise 800-900 branches
  • Pre-monsoon rainfall deficit drops to 22 per cent
  • Reliance Capital protests ratings downgrade
  • India reports trade deficit with 11 RCEP members in FY 2018-19
  • OPEC members meet to assess oil market after US sanctions on Iran
  • NMDC plans to acquire 100 per cent stake in Australia’s Legacy Iron-Ore Ltd
  • Debt-ridden Essar Steel reports Rs 4,229 cr EBITDA during insolvency period
  • ICICI-Videocon loan case: Kochhar contests bonus clawback, ESOP termination
  • NBFC crisis to top agenda of new govt.
  • Jet employee group offers to invest $700 million
  • AgMA Energy plans to launch India-specific agri products
  • No interest in taking control of IndiGo: Rakesh Gangwal
  • Dredging Corporation of India wins annual contracts from Cochin and Paradip port trusts
  • ONGC, GIP, Tripura govt eye to buy out IL&FS’s 26% stake in OTPC
  • TCS eyes double-digit growth in FY20, says COO Subramaniam
  • Dr Reddy’s Laboratories serves a bitter medicine in March quarter
  • RBI’s vision document on payment systems to spur digital economy: Fintech firms
  • Life insurance industry to focus on millennials, digital-human interface
  • IMFA posts loss of Rs 74 cr in January-March qtr
  • Power producers seek removal of double taxation on imported coal
  • RBI to boost card payments with 34% increase in PoS terminals by end of 2021
  • Japan’s Orix to acquire wind assets of IL&FS
  • GST Council may consider national bench of AAAR next month
  • FPIs withdraw Rs 6,399 crore in May so far
  • AstraZeneca moves US court against Aurobindo
  • RBI releases ‘Vision 2021’ for payment systems for ‘cash-lite’ society

Key Due Dates:

  • The Due Date of GSTR-1  For the Month Of May is 10th June 2019.
  • The Due Date of GSTR-3b For the Month Of May is 20th June 2019.
  • The Due Dates for the Deposit of TDS/TCS for the Purchase of Property 30th June 2019.\
  • Annual Return For Registered Tax Payers is 30th June 2019.

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

FORM 15CB TO BE ISSUED FOR PAYMENT TO NON-RESIDENT FOR USING IMMOVABLE PROPERTY SITUATED IN INDIA.

FORM 15CB TO BE ISSUED FOR PAYMENT TO NON-RESIDENT FOR USING IMMOVABLE PROPERTY SITUATED IN INDIA

Untitled213The primary right to tax the income from immovable property is with the country where the immovable property is situated as per Article 6 of the DTAA. This view holds good for all the Model Tax conventions namely, OECD, U.N, U.S. The situs of the immovable property has vital role in determining distributive rules for taxation i.e. State of source vs. State of residence. Various paragraphs of Article 6 has been discussed under all the three Model Conventions:

Distributive Rule of Taxation

This paragraph denotes that income derived by a resident of a Contracting state from immovable property situated in other contracting state may be taxed in that other state. The paragraph uses the words “may be taxed in” which implies that state of source is not getting exclusive but primary right to tax and hence, the state of residence may also tax the same income. Double taxation so arising, is mitigated by way of exemption or tax credit mechanism available under the tax treaty (Article 23A or 23B). There are tax treaties of India with Bangladesh, Greece and Egypt which provides that- income from immovable property shall be taxable in the contracting state in which such property located. Thus, the source state retains an exclusive right to tax the income from immovable property. The use of different terminologies, i.e, ‘may be taxed in’ & ‘shall be taxed only in’ led to controversies in the interpretation of tax treaties.

With respect to Article 6, a landmark decision was given by the Apex court of India in case of CIT vs. P.V.A.L. Kulandagan Chettiar. The Supreme Court held that income arising from rubber estate in Malaysia was not liable to tax in India, even though Article 6 uses the language ‘may be taxed in’. A notable fact, in the context of language ‘may be taxed in’ is NOTIFICATION 91/2008 dated. 28 August, 2008  which clarifies – in case tax treaty provides that any income of a resident of India “may be taxed in” in the other country, such income shall be included in his total income chargeable to tax in India and relief shall be granted in accordance with the treaty provisions. Thus, it is clear that India preserves right to tax worldwide income of its tax residents also under the tax treaties. However, this notification has remained unnoticed and doesn’t find reference in rulings dealing with the phrase ‘may be taxed in’.

In a situation where a resident of one of the Contracting State earns income from immovable property located in third state, the same shall fall outside the ambit of Article 6 and it shall bear the character of ‘other income ‘ and taxed accordingly.

Income from Agriculture and forestry

Model tax Conventions also include Income from agricultural and forestry within the ambit of income from immovable property, because of the concept that these incomes primarily concern with use of land. However, ownership of immovable property which is exploited for the purpose of agriculture and forestry need not rest with the person carrying out the activities of agriculture and forestry.

However, Income from Agriculture is exempt u/s 10 of Income Tax Act, 1961, hence, there is no need to take the benefit of the treaty.

Computation of income from immovable property

Article 6 deals only with attribution of taxation on income arising from immovable property, it is silent on the modalities of determining income. It also doesn’t mention about deductible expenses. In absence of such specification, the computation shall have to be carried out as per domestic tax laws of the state of source.

Conclusion

The primary taxation right over income from immovable property is always with State of situs.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 9555555480

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)

NEW CHANGES ON TDS – CHANGES IN WITHHOLDING TAX

NEW CHANGES ON TDS – CHANGES IN WITH HOLDING TAX

Untitled29ASection 192 (2D) – TDS on Salary: The person responsible for making the payment referred to in sub-section (1) shall, for the purposes of estimating income of the assessee or computing tax deductible under sub-section (1), obtain from the assessee the evidence or proof or particulars of prescribed claims (including claim for set-off of loss) under the provisions of the Act in such form and manner as may be prescribed.

Now the employer is responsible to verify all the supporting documents before determining the applicable Tax liability of employees.

Applicable with effect from 1 June 2015

Section 195 – Payment to Non-Resident: The person responsible for making the payment referred to in sub-section (1) shall, for the purposes of estimating income of the assessee or computing tax deductible under sub-section (1), obtain from the assessee the evidence or proof or particulars of prescribed claims (including claim for set-off of loss) under the provisions of the Act in such form and manner as may be prescribed.

Now the 15 CA should be furnished for the cases even if tax at source is not applicable

Applicable with effect from 1 June 2015

Section 194 C – Deduction of Tax on Transporter :In section 194C of the Income-tax Act, in sub-section (6), with effect from the 1st day of June, 2015, for the words “on furnishing of”, the words “where such contractor owns ten or less goods carriages at any time during the previous year and furnishes a declaration to that effect along with” shall be substituted.

Now the transporter needs to provide above stated declaration along with PAN to get the payment without ant Tax Deduction

Applicable with effect from 1 June 2015

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 011-233 433 33

Disclaimer: The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. carajput.com is committed to helping entrepreneurs and small business owners to start, manage and grow their business with peace of mind. Our goal is to support the entrepreneur on legal and regulatory requirements and to be a partner throughout the entire business life cycle, offering support to the company at every stage to ensure that it is compliant and consistently growing. Hope the information will assist you in your Professional endeavors. For query or help, contact: info@carajput.com or call at 09811322785/4 9555 5555 480)