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Rule 37BB of Income Tax Rules 1962: Furnishing of information for payment to a non-resident, not being a company, or to a foreign company

Rule 37BB : Furnishing of information for payment to a non-resident, not being a company, or to a foreign company.
(Chapter: VI - Deduction of Tax at Source)

(1) The person responsible for paying to a non-resident, not being a company, or to a foreign company, any sum chargeable under the provisions of the Act, shall furnish the following, namely:—

(i) the information in Part A of Form No.15CA, if the amount of payment or the aggregate of such payments, as the case may be, made during the financial year does not exceed five lakh rupees;
(ii) for payments other than the payments referred in clause (i), the information,—
(a) in Part B of Form No.15CA after obtaining,—
(I) a certificate from the Assessing Officer under section 197; or
(II) an order from the Assessing Officer under sub-section (2) or sub-section (3) of section 195;
(b) in Part C of Form No.15CA after obtaining a certificate in Form No. 15CB from an accountant as defined in the Explanation below sub-section (2) of section 288.
(2) The person responsible for paying to a non-resident, not being a company, or to a foreign company, any sum which is not chargeable under the provisions of the Act, shall furnish the information in Part D of Form No. 15CA.

(3) Notwithstanding anything contained in sub-rule (2), no information is required to be furnished for any sum which is not chargeable under the provisions of the Act, if,—
(i) the remittance is made by an individual and it does not require prior approval of Reserve Bank of India as per the provisions of section 5 of the Foreign Exchange Management Act, 1999 (42 of 1999) read with Schedule III to the Foreign Exchange (Current Account Transaction) Rules, 2000; or
(ii) the remittance is of the nature specified in column (3) of the specified list below:
SPECIFIED LIST
Sl. No.
Purpose code as per RBI
Nature of payment
(1)
(2)
(3)
1
S0001
Indian investment abroad - in equity capital (shares)
2
S0002
Indian investment abroad - in debt securities
3
S0003
Indian investment abroad - in branches and wholly owned subsidiaries
4
S0004
Indian investment abroad - in subsidiaries and associates
5
S0005
Indian investment abroad - in real estate
6
S0011
Loans extended to Non-Residents
7
S0101
Advance payment against imports
8
S0102
Payment towards imports - settlement of invoice
9
S0103
Imports by diplomatic missions
10
S0104
Intermediary trade
11
S0190
Imports below Rs.5,00,000 - (For use by ECD offices)
12
SO202
Payment for operating expenses of Indian shipping companies operating abroad
13
SO208
Operating expenses of Indian Airlines companies operating abroad
14
S0212
Booking of passages abroad - Airlines companies
15
S0301
Remittance towards business travel
16
S0302
Travel under basic travel quota (BTQ)
17
S0303
Travel for pilgrimage
18
S0304
Travel for medical treatment
19
S0305
Travel for education (including fees, hostel expenses etc.)
20
S0401
Postal services
21
S0501
Construction of projects abroad by Indian companies including import of goods at project site
22
S0602
Freight insurance - relating to import and export of goods
23
S1011
Payments for maintenance of offices abroad
24
S1201
Maintenance of Indian embassies abroad
25
S1202
Remittances by foreign embassies in India
26
S1301
Remittance by non-residents towards family maintenance and savings
27
S1302
Remittance towards personal gifts and donations
28
S1303
Remittance towards donations to religious and charitable institutions abroad
29
S1304
Remittance towards grants and donations to other Governments and charitable institutions established by the Governments
30
S1305
Contributions or donations by the Government to international institutions
31
S1306
Remittance towards payment or refund of taxes
32
S1501
Refunds or rebates or reduction in invoice value on account of exports
33
S1503
Payments by residents for international bidding.


(4) The information in Form No. 15CA shall be furnished,—
(i) electronically under digital signature in accordance with the procedures, formats and standards specified by the Principal Director General of Income-tax (Systems) under sub-rule (8) and thereafter printout of the said form shall be submitted to the authorised dealer, prior to remitting the payment; or
(ii) electronically in accordance with the procedures, formats and standards specified by the Principal Director General of Income-tax (Systems) under sub-rule (8) and thereafter signed printout of the said form shall be submitted to the authorised dealer, prior to remitting the payment.
(5) An income-tax authority may require the authorised dealer to furnish the signed printout of Form No.15CA referred to in clause (ii) of sub-rule (4) for the purposes of any proceedings under the Act.

(6) The certificate in Form No. 15CB shall be furnished and verified electronically in accordance with the procedures, formats and standards specified by the Principal Director-General of Income-tax (Systems) under sub-rule (8).

(7) The authorised dealer shall furnish a quarterly statement for each quarter of the financial year in Form No.15CC to the Principal Director General of Income-tax (Systems) or the person authorised by the Principal Director General of Income-tax (Systems) electronically under digital signature within fifteen days from the end of the quarter of the financial year to which such statement relates in accordance with the procedures, formats and standards specified by the Principal Director General of Income-tax (Systems) under sub-rule (8).

(8) The Principal Director General of Income-tax (Systems) shall specify the procedures, formats and standards for the purposes of furnishing and verification of Form 15CA, Form 15CB and Form 15CC and shall be responsible for the day-to-day administration in relation to the furnishing and verification of information, certificate and quarterly statement in accordance with the provisions of sub-rules (4), (6) and (7).

Explanation.— For the purposes of this rule 'authorised dealer' means a person authorised as an authorised dealer under sub-section (1) of section 10 of the Foreign Exchange Management Act, 1999 (42 of 1999).



Extra Notes for Readers:

- Rule 37BB was substituted by the Income Tax (21st Amendment) Rules 2015, w.e.f. 1-Apr-2016 {Notification No. 93/2015 [F.No.133/41/2015-TPL] / G.S.R. 978(E)}



Reference/Source: Check at Income Tax site for latest version of the Rules - link

This page was last updated on 17th October 2016.
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