BackWhat is form 15CB and when is it required?
Form 15CB is a certificate that is required from a chartered accountant, in case money is being remitted outside from India
PremiumI am a non-resident Indian (NRI) and have non-resident ordinary (NRO) and non-resident external (NRE) accounts in India. I need to transfer my savings from my salary (all taxes paid) to the US. Am I required to produce Form 15CB for the same?
— Name withheld on request
Form 15CB is a certificate that is required from a chartered accountant, in case money is being remitted outside from India. The form 15CB certifies that tax has been paid on the amount that is being remitted outside India. However, such a certificate may not be needed if the money is sent by an NRI for the maintenance of his/ her family through the liberalized remittance scheme. Still, some banks may ask for this certificate before a transfer can be made. It is advisable to check with your bank about the requirements.
I want to sell some land in India. Are there any exemptions that can be availed of to minimize taxes? If the property was purchased before 2001, what indexation and property value can be taken into consideration to calculate long term capital gains (LTCG)?
— Name withheld on request
LTCG can be exempted in all its entirety u/s 54F, if the proceeds from the sale of the aforesaid land are invested in the acquisition or construction of a house/ flat in India.
Another option is to invest in section 54EC bonds within six months of selling the land . The maximum amount that can be invested in such bonds is ₹50 lakh.
If the property is purchased prior to 1 April 2001, then a registered valuer may be appointed to value the property as on 1 April 2001 for the purpose of computing income tax.
I work in Qatar and have an NRE account in India. One of my friends working in the US needs to transfer some amount to my NRE account. Would I face any issue if he sends $20,000 in a single transfer?
— Name withheld on request
There is no limit as such on receiving money in an NRE account on a yearly or monthly basis. Therefore, you can receive money in your NRE account in India from your friend.
However, since your friend is working in the US, there may be local tax rules that may apply, therefore it is important that your friend is in compliance with those rules.
Archit Gupta is founder and chief executive officer, Clear.in.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
