Manual filing of tax forms for authorized foreign remittances. Know what the experts are saying


The Income Tax Department on Monday allowed manual filing of the 15CA and 15CB tax forms, used for sending foreign funds, as technical issues disrupt the new tax portal even after a week of its launch. Users have been struggling to send funds overseas since May 30, as the tax department shut down the utility for six days before the new portal launched.

Although the person sending the foreign funds can fill out the forms manually, they must also be uploaded online, which can lead to duplication of efforts, some experts said. “The CBDT wants us to upload the documents to the portal again before June 30. This will cause duplication of effort and our clients might not pay us for it, ”said Prakash Hedge, a Bangalore-based accountant.

Chartered accountants are also awaiting clarification on another technical issue. “We are supposed to generate a Unique Document Identification Number (UDIN) for any certificate issued using the Institute of Chartered Accountants of India (ICAI) portal. This UDIN must be mentioned in any certificate that we issue and must be generated within 15 days of the issuance of this certificate. Now we may need to issue another UDIN while uploading the online forms again. Clarity is needed on this front, ”Hedge said.

“The technical hitch had created a significant constraint for companies, which demanded that payment be made outside India, to place orders or to obtain licenses or to fulfill their commercial obligations. However, banks did not allow remittances abroad due to a lack of form 15CA / 15CB. This practical problem has crippled many business transactions, ”said Shailesh Kumar, Partner, Nangia and Co LLP. It is likely to be resolved now.

Anyone who needs to make an outgoing foreign remittance must complete an online declaration on Form 15CA specifying the nature of the transaction and the amount of income tax deducted on this foreign remittance. In some cases, this Form 15CA is also supported by a certified public accountant in the Form 15CB, which certifies that the appropriate income tax has been deducted on this remittance. These 15CA and 15CB forms had to be completed online using the electronic income tax filing portal.

After certification, these forms must be sent to the banks which then release the foreign remittances.

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