CBDT Extends Deadline for Filing Forms 15CA and 15CB

Introduction

On July 20, 2021, the Central Board of Direct Taxes (CBDT) issued a press release granting an extension for the filing of forms 15CA and 15CB. This relaxation was introduced to address the challenges taxpayers faced when submitting these forms through the new Income Tax portal.

Filing Requirements for Forms 15CA and 15CB

Taxpayers must file Form 15CA along with the Certificate from a Chartered Accountant in Form 15CB, if applicable, via the e-filing portal before sending copies to the Authorized Dealer (AD) for any foreign remittance.

Relaxation Details:

• Manual Submission: Taxpayers are permitted to submit Forms 15CA and 15CB in manual format to the Authorized Dealer until August 15, 2021. This extension moves the deadline from the previous date of July 15, 2021.
• Future e-filing Facility: The CBDT has clarified that a functionality will soon be available on the new e-filing portal to allow the upload of these forms for generating a Document Identification Number (DIN).

Understanding Forms 15CA and 15CB

According to Section 195 of the Income Tax Act, 1961, tax must be deducted for any income that is taxable under the Income Tax Regime. When an individual intends to make payments or remit money to a non-resident, such as foreign corporations, the bank will verify if the necessary tax has been paid.

To facilitate this process, the remitter must provide an undertaking via Form 15CA, which details information regarding the payment. In cases where a certificate is required, a Chartered Accountant must issue Form 15CB.

Conclusion

In summary, the CBDT’s recent announcement aims to ease the filing process for Forms 15CA and 15CB amidst ongoing challenges with the new Income Tax portal. Taxpayers are encouraged to take advantage of the extended manual submission deadline until August 15, 2021, while preparing to utilize the upcoming e-filing capabilities.