Knowledge Hub — Tax & Compliance Articles

Insights on the Income Tax Act, 2025, GST, and cross-border compliance for businesses and NRIs.

Foreign Remittance: Form 15CA & 15CB Explained

By CA Mihir Thacker, FCA, DISA(ICAI), ACMA · Updated: June 2026

Payments to non-residents are routed through a two-part compliance process under Rule 37BB. Getting it right keeps your remittance moving and avoids penalties for inaccurate certification.

How the Process Works:

  • Form 15CB (Accountant's Certificate): A Chartered Accountant certifies the nature of the payment, its taxability, the applicable TDS rate, and any DTAA relief. This is generally required where the remittance is taxable and exceeds ₹5 lakh in a financial year.
  • Form 15CA (Remitter's Declaration): Filed online by the remitter. Part C is used where a 15CB certificate is required — the 15CB acknowledgement number is quoted to complete it. The form is then shared with your Authorised Dealer (AD) bank to release the funds.

Claiming DTAA Relief (for NRIs & Corporates):

To apply a beneficial Double Taxation Avoidance Agreement (DTAA) rate, keep a valid Tax Residency Certificate (TRC) and Form 10F ready. Incorrect or missing documentation can delay the remittance or attract penalties for inaccurate certification.

TCS on Foreign Remittances: The ₹10 Lakh Threshold

By CA Preeti Thacker, ACA · Updated: June 2026

Under the Liberalised Remittance Scheme (LRS), Tax Collected at Source (TCS) of 20% applies to foreign remittances exceeding ₹10 lakh in a financial year (other than for education or medical treatment, which enjoy concessional rates). TCS paid can be adjusted against your income tax liability, so factor it into your remittance and investment planning.