Form 15CA and 15CB: Difference, Filing & Penalties (2026)

Forms 15CA and 15CB are important tax compliance documents required by the Income Tax Department of India to track foreign remittances (money transfers sent abroad). Even a single compliance error on these forms can delay NRI remittances for weeks, particularly in cases involving property sale repatriations or high-value transfers. While Form 15CA is a self-declaration reporting payments to non-residents, Form 15CB is a CA-issued certificate used to determine the taxability of the remittance. This blog explains the differences between Form 15CA and 15CB, their filing processes, rules, and penalties for compliant foreign remittances from India.

What is Form 15CA?

Form 15CA is an online declaration used in India to report payments made to non-residents. It helps the Income Tax Department track foreign remittances and ensure that the correct TDS is paid before the money leaves the country. The remitter or the person sending the money must file the form electronically on the Income Tax portal before making the payment.

​In accordance with Rule 37BB, certain transactions are exempt from filing Form 15CA, such as the import of goods, payments for international travel, education expenses paid abroad, remittances for overseas medical treatment, and certain personal remittances under the Liberalised Remittance Scheme. [1]

Four Parts of Form 15CA:

The Form 15CA is divided into four parts, depending on the amount of the remittance and its tax status: 

• Part A: Used when the remittance is taxable in India and the total amount sent during the financial year does not exceed ₹5 lakh.
• Part B: Used when the remittance exceeds ₹5 lakh, but the remitter has obtained a certificate or order from the Assessing Officer under Section 195(2), 195 (3), or 197 of the Income Tax Act, 1961.
• Part C: Used when the remittance exceeds ₹5 lakh and a certificate from a CA is required to confirm the taxability of the payment.
• Part D: Used when the remittance is not taxable in India under the provisions of the Income Tax Act, 1961.

What is Form 15CB?

Form 15CB is a Tax Determination Certificate issued by a Chartered Accountant that certifies the correct tax has been deducted on a payment being remitted from India to a foreign country. It serves as proof that the remittance complies with the Income Tax Act, 1961, and any applicable Double Taxation Avoidance Agreement. [2]

Filing Process for Form 15CB:

• CA Appointment: The taxpayer must first add and assign a CA on the Income Tax e-Filing portal.
• CA Submission: The CA will review the remittance details, determine the applicable tax liability, and submit Form 15CB using their Digital Signature Certificate.
• UDIN Generation: The CA will then generate a Unique Document Identification Number for the certificate as required by the Institute of Chartered Accountants of India.
• Integration: Once submitted, the acknowledgement number of Form 15CB is used by the remitter to file Part C of Form 15CA

What is the Difference Between Form 15CA and 15CB?

Both Form 15CA and 15CB are used when making certain foreign remittances from India. Where Form 15CA is a declaration submitted by the remitter to the Income Tax Department before sending money abroad, Form 15CB is a certificate issued by a Chartered Accountant confirming the taxability of a foreign payment and the applicable tax deduction. The difference between Form 15CA and 15CB is as follows:

When Are Form 15CA and 15CB Required?

Forms 15CA and 15CB are required when remitting money from India to a non-resident person or foreign company, particularly if the payment is taxable under the Income Tax Act, 1961. Form 15CA is a self-declaration form for the remitter, while Form 15CB is a CA-issued certificate required for payments exceeding ₹5 lakh in a year and are taxable.

When is Form 15CA required? 

• When making a foreign remittance to a non-resident or foreign company.
• When the remittance is taxable in India under the Income Tax Act.
• When the remittance requires reporting under Rule 37BB of the Income Tax Rules.
• When Form 15CB is obtained from a Chartered Accountant, in which case Part C of Form 15CA must be filed.

When is Form 15CB required?

• When the remittance to a non-resident exceeds ₹5 lakh in a financial year.
• When the payment is taxable in India & requires certification of the applicable TDS and tax liability.
• When the remitter does not have a certificate from the Assessing Officer under Sections 195(2), 195(3), or 197.
• When the bank or authorised dealer requires CA certification before processing the foreign remittance.

Step-by-Step Form 15CA and 15CB Filing Process (2026 Portal)

Both Form 15CA and 15CB are filed via the Income Tax e-Filing Portal to authorise foreign remittances. For remittances up to ₹5 lakh, only Part A or Part D of Form 15CA is required. For taxable remittances exceeding ₹5 lakh, Form 15CB and Part C of Form 15CA must be filed.

Form 15CA can be filled out online on the Income Tax Department of India's website. Here are the steps to fill out Form 15CA:

• Step 1: Go to the website of the Income Tax Department of India
• Step 2: Log in to your account
• Step 3: Click on the e-File tab and select "Prepare and Submit Online Form (Other than ITR)"
• Step 4: Select Form 15CA and fill out the necessary details
• Step 5: Submit the form and take a printout of the acknowledgement generated

Form 15CB must be completed by a Chartered Accountant. Here are the steps to fill out Form 15CB:

• Step 1: Download Form 15CB from the website of the Income Tax Department of India
• Step 2:Fill out the necessary details.
• Step 3: Get the form certified by a Chartered Accountant

Key Rules, Compliance & Penalties Regarding Form 15CA and 15CB

Form 15CA and 15CB are important compliance documents under Section 195 of the Income Tax Act, 1961, used to ensure proper tax deduction on payments made to non-residents. Failure to file these forms or comply with the rules can result in penalties and delays in foreign remittances.

Key Rules:

• A certificate from a CA, issued on Form 15CB, is required to certify the taxability of the remittance and the applicable TDS.
• Form 15CB is required if the aggregate remittance exceeds ₹5 lakh in a financial year, or if the remittance is taxable.
• Certain payments do not require Form 15CA or Form 15CB, such as specified transactions listed under Rule 37BB of the Income Tax Rules (for example, some personal remittances, imports, or travel-related payments)
• Form 15CA can be withdrawn within 7 days of submission on the Income Tax e-Filing portal.

Penalties:

• Penalty of ₹1 lakh for failure to furnish Form 15CA/15CB or for providing incorrect information under Section 271-I of the Income Tax Act
• The related expense can be disallowed as a deduction under Section 40(a)(i) if tax was required to be deducted but was not properly complied with
• Banks or authorised dealers can delay or reject the foreign remittance if the required forms are not submitted correctly.

Form 15CA/15CB for NRI Property Sale

The sale of property by an NRI in India is governed by the Foreign Exchange Management Act (FEMA) and Section 195 of the Income Tax Act, 1961. Form 15CA and Form 15CB are required when sale proceeds are sent abroad, and the remittance exceeds ₹5 lakh in a financial year.

In such cases, a Chartered Accountant must issue Form 15CB to certify the taxability of the transaction and the applicable TDS. The remitter must then file Form 15CA on the Income Tax e-Filing portal before the bank processes the remittance.

If the property was held for more than 2 years, the profit is treated as long-term capital gains and taxed at 12.5% without indexation. If the property was held for less than 2 years, the profit is treated as short-term capital gains and taxed according to the applicable income tax slab rates.

Under FEMA rules, an NRI can repatriate up to $1 million per financial year from their NRO account, provided all applicable taxes have been paid and the required documentation has been submitted.

Example: An NRI living in the UAE sells a residential property in Bangalore for ₹1.2 crore. The property was originally purchased for ₹80 lakh and was held for more than 2 years, so the profit is treated as long-term capital gains. The total capital gain in this case is ₹40 lakh, which is taxed at 12.5% (without indexation) along with applicable surcharge and cess. To send the sale proceeds abroad, a CA will need to issue Form 15CB certifying the tax calculation and compliance. The remitter then files Form 15CA on the Income Tax e-Filing portal using the 15CB acknowledgement number. Once the forms are submitted and taxes are paid, the NRI can repatriate funds from their NRO account, subject to the $1 million per financial year limit set by FEMA.

Common Mistakes NRIs Make With Respect to Form 15CA and 15CB

Even small errors while filing Form 15CA and 15CB can lead to rejection, delays in remittance, or extra compliance checks by banks. Being aware of these common mistakes can help avoid penalties and complications.

Mistake #1: Wrong Part Selection:

Filing the incorrect part of Form 15CA can cause issues. For example, submitting Part A instead of Part C when the remittance requires a CA certificate, or incorrectly using Part D for non-exempt transactions, can lead to rejection or compliance queries.

Mistake #2: Mismatched Data:

Mismatches in details such as the remitter’s name, PAN, remittance amount, exchange rate, or proposed remittance date can result in automated rejection by the portal or delays by the bank.

Mistake #3: Improper purpose code:

Entering the wrong RBI purpose code or incorrectly describing the payment's nature can cause the bank’s compliance systems to flag or hold the transaction.

Mistake #4: Missing Form 15CB for taxable income:

If the remittance is taxable and exceeds ₹5 lakh, failing to obtain a Form 15CB certificate from a CA can result in rejection or delay in processing.

Mistake #5: Ignoring DTAA benefits:

Not claiming benefits under applicable Double Taxation Avoidance Agreements or failing to provide a Tax Residency Certificate (TRC) often leads to higher TDS than necessary.

Mistake #6: Timing of filing:

Form 15CA and Form 15CB must be filed before the remittance is made. Filing them afterwards can lead to delays or the bank refusing to process the transaction.

Mistake #7: Lack of documentation:

Not providing the CA with the required documents, such as PAN details, Form 26AS, sale agreement, bank remittance details, or tax calculations, can delay the issuance of Form 15CB.

Expert Tips for NRIs Filing Form 15CA and 15CB

Following these expert tips can help NRIs maintain a smooth and error-free filing process for Form 15CA and Form 15CB:

• Understand the four parts of Form 15CA before filing.
• Appoint and register a CA on the Income Tax e-Filing portal early.
• Ensure the CA files Form 15CB if the remittance exceeds ₹5 lakh and is taxable.
• Check the RBI list of 28 exempt foreign remittance categories under Rule 37BB
• Carefully verify all details, including name, PAN, remittance amount, & date, before submission.
• Use the correct RBI purpose code & remittance classification.
• Avoid data mismatches between Form 15CA, Form 15CB & bank records
• File the forms before the bank processes the remittance.
• Withdraw Form 15CA within 7 days if a mistake is made and refile correctly.
• Keep supporting documents, such as the TRC & Form 26AS, ready.

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