International Taxation
Cross-Border Tax Structuring, Form 15CA/15CB, DTAA Treaties & Transfer Pricing.
Foreign remittance Form 15CA and 15CB CA certification, DTAA tax treaty relief (Sections 90/91), and Transfer Pricing benchmarking.
International Taxation in India governs cross-border financial transactions between Indian residents and foreign entities under Chapter VIII and Section 195 of the Income-tax Act. Any outbound remittance to a foreign entity requires Form 15CA declaration and, for payments exceeding ₹5 Lakhs subject to tax, a certified Form 15CB issued by a Chartered Accountant verifying appropriate TDS under domestic law or DTAA treaties.
✦ Practice Scope & Regulatory Overview
Cross-border trade, offshore outsourcing, software SaaS exports, and global enterprise investments demand rigorous compliance with international tax treaties and statutory withholding rules.
Our international tax practice advises multi-national corporations, domestic exporters, overseas businesses, and Non-Resident Indians (NRIs) across major global economic corridors—including UAE, USA, UK, Singapore, Australia, Canada, and the European Union.
We issue mandatory Form 15CB Chartered Accountant certifications for outward foreign remittances, analyze Permanent Establishment (PE) risks, benchmark Transfer Pricing transactions, and secure foreign tax relief under Double Tax Avoidance Agreements (DTAA).
Key Deliverables & Scope of Work
Documents Required Checklist
Statutory PreparationStep-by-Step Execution Methodology
Remittance Nature & Treaty Evaluation
Analyzing agreement terms, classification of income (Royalty, FTS, Capital Gains, Business Profits), and applicable DTAA rates.
TDS Withholding & Grossing-up Review
Verifying Section 195 domestic rates vs DTAA preferential rates and computing mandatory TDS deduction or exemption.
Form 15CB CA Certification
Signing and uploading the statutory Form 15CB certificate on the income tax portal under the CA Digital Signature (DSC).
Form 15CA Filing & Bank Clearance
Filing Form 15CA Part C referencing the 15CB acknowledgment and generating the bank submission clearance docket.
Frequently Asked Questions (FAQs)
Statutory & Practice GuidanceWhen is Form 15CB mandatory for an outward foreign remittance from India?
Form 15CB is a statutory certificate issued by a practicing Chartered Accountant under Section 195(6) of the Income-tax Act. It is mandatory whenever a payment made to a non-resident or foreign company is taxable in India and the aggregate remittance exceeds ₹5 Lakhs in the financial year. Form 15CB must be uploaded before filing Part C of Form 15CA.
What is the role of Form 15CA in foreign remittances?
Form 15CA is an electronic declaration submitted by the remitter on the Income Tax portal. It serves as an audit trail for the tax department and Reserve Bank of India (RBI) to monitor foreign outward remittances and ensure correct withholding taxes before the authorized dealer bank processes the transfer.
What documents does a foreign vendor need to provide to claim DTAA tax treaty benefits?
To avail beneficial lower tax rates under a Double Tax Avoidance Agreement (DTAA), the foreign entity must furnish: (1) A valid Tax Residency Certificate (TRC) from their home country government, (2) Electronic Form 10F filed on the Indian e-portal, and (3) A formal declaration certifying that they do not have a Permanent Establishment (PE) or business connection in India.
How are Non-Resident Indians (NRIs) taxed on income earned in India?
NRIs are taxed in India only on income that accrues, arises, or is received in India (e.g., rental income, capital gains from selling Indian property or shares, interest on NRO deposits). Income earned outside India is not taxable in India. Special concessional tax rates and TDS rates apply under Chapter XII-A.
How can an NRI repatriate funds from an NRO account to an overseas NRE/Foreign account?
Under RBI’s Liberalised Remittance Scheme (LRS), an NRI can repatriate up to USD 1 Million per financial year from their NRO account. The bank requires Form 15CB from a Chartered Accountant certifying that all domestic taxes have been paid, along with an e-filed Form 15CA Part C.
What is Transfer Pricing and Form 3CEB in India?
Transfer Pricing provisions under Section 92 of the Income-tax Act apply when an Indian enterprise enters into international or specified domestic transactions with an Associated Enterprise (AE). The transactions must be at Arm’s Length Price (ALP). A detailed transfer pricing report and CA certification in Form 3CEB must be filed by October 31.