Article
Feb 23, 2026
Form 15CA/15CB Explained
When You Need It and When You Don't
Most NRIs only discover Form 15CA and 15CB when their bank refuses to process a transfer.
These forms are not additional taxes. They are proof that tax has already been accounted for. Miss the paperwork, and your bank won’t move the money — even if you owe nothing.
When money leaves India, the government needs confirmation that any applicable tax has been handled. This framework is a declaration system, not a new tax.
Form 15CA is your declaration to the Income Tax Department, filed online before remittance. Form 15CB is a Chartered Accountant’s certificate confirming correct tax treatment. If required, 15CB must be filed first, because banks rely on it before releasing funds.
A key nuance: 15CB is not a rubber stamp. A competent CA evaluates the nature of income, DTAA applicability, and TDS already deducted. Errors here can trigger scrutiny later.
Why People File the Wrong Part of 15CA
Form 15CA has four parts:
Part A – Taxable remittance below ₹5 lakh in a financial year. No CA certificate needed.
Part B – Covered by a tax order or certificate. No 15CB needed.
Part C – Taxable remittance above ₹5 lakh. 15CB mandatory before filing.
Part D – Remittance not chargeable to tax in India.
The ₹5 lakh threshold is cumulative across the financial year, not per transaction. Three transfers of ₹2 lakh still cross the limit.
The Four Questions That Determine Your Compliance Path
Most NRI confusion disappears if you answer four things clearly.
1. NRE or NRO?
NRE funds are freely repatriable and usually don’t require 15CA/15CB.
NRO accounts hold India-sourced income — this is where compliance applies.
2. Is the income taxable in India?
Some transactions are exempt under Rule 37BB, but most NRO income like rent, mutual fund redemptions, and property proceeds are not.
3. Have you crossed ₹5 lakh this financial year?
The ₹5L limit is cumulative, not per transaction.
Cross it, and Part C with 15CB becomes mandatory.
4. Does DTAA apply?
A tax treaty can significantly reduce TDS, but it does not remove paperwork.
Claiming it requires proper documentation and correct reflection in 15CB.
DTAA remains one of the most underused levers in NRI tax planning. Most banks deduct TDS at the maximum rate by default unless treaty benefits are proactively claimed through a Tax Residency Certificate and Form 10F.
Common Scenarios That Trigger 15CA/15CB
Property sale proceeds repatriated from NRO
Rental income sent overseas
Mutual fund redemptions transferred abroad from NRO
NRO fixed deposit interest remitted
Any India-sourced income exceeding ₹5 lakh in a financial year
The Process
CA files 15CB → You receive the acknowledgment number → You file 15CA quoting that number → Submit both to your bank → Funds released.
Under normal conditions, allow 5 to 10 working days. During March and April, delays are common.
The Risk Most NRIs Don’t See
Incorrect or incomplete filings do more than delay transfers. They create inconsistencies between remittance records and your income tax return.
This is especially relevant for property sales. Capital gains computation, TDS under Section 195, and 15CB figures must match your ITR. Mismatches are a common trigger for tax notices.
Form 15CA and 15CB are not complicated once structured correctly. The real risk is assumption, not regulation.
Most NRI tax stress isn’t about high tax.
It’s about incomplete compliance.
And incomplete compliance stops money.