Indians sending money abroad, whether for overseas investments, property purchases, business payments, education or an NRI remitting funds abroad must comply with the new income tax documentation requirements under Forms 145 and 146. These forms replaced the previous Forms 15CA and 15CB under the Income-Tax Act, 2025 framework.
According to the income tax department’s guidelines, these forms must be submitted before making a payment to a or foreign entity, and banks may require them before processing international transfers.
“Form 145 is a new form that replaces the old Form 15CA for sending money outside India. It needs to be filled by anyone who wants to make a foreign payment, and it must be submitted before the money is sent,” as mentioned on the income tax department’s website.
What changed?
The core rule remains the same even though the older forms have been replaced. Under the new forms, foreign remittances must be reported and tax compliance, wherever applicable, must be ensured before the money leaves the country.
Under the updated rules, the earlier reporting system has been replaced with the new Forms 145 and 146, which will now be used for disclosures and certification related to foreign remittance. This is the only change.
What Form 145 covers
Form 145 is a declaration form that must be filed by the person making a foreign payment. It includes details such as:
- The purpose of the remittance
- The amount being transferred overseas
- Applicable tax deduction details
The form helps the income tax Department know why the money is being sent and whether any tax needs to be paid on it. Form 145 also asks for clear details about the purpose of the remittance from a fixed list, which makes the process easier and reduces mistakes.
Prerequisites for availing this service:
• Registered user of the e-Filing portal with valid user ID and password.
• CA should have filed Form 146 (for Part – C only).
In some cases, a Chartered Accountant must first give Form 146 before you can file Form 145, according to official details. You can submit 145 in online and offline mode on the Income Tax portal.
What Form 146 must be used
If you are sending money abroad and the transaction is above the prescribed limit of ₹5 lakh with tax implications, you may first need a Chartered Accountant certificate in Form 146 before filing Form 145.
- Form 146 is issued by a CA to confirm whether tax applies on the foreign payment and whether proper TDS has been deducted.
- The CA will also verifies Double Taxation Avoidance Agreement () guidelines the money is sent abroad.
- After that, you can file Form 145, which is the declaration submitted to the Income Tax Department before the .
Form 146 is only required for transactions where professional certification is needed for compliance. You can file this form either online or offline, and there is no fixed deadline for submitting it.
Prerequisite for availing this service:
• CA should register in e-Filing portal with his membership number.
• Status of CA – ID should be “Active”
• CA must contain the valid DSC (Digital Signature Certificate)
• Taxpayer should assign Form 146 to CA.
Foreign remittances are monitored by Indian government for tax compliance. Hence, providing incorrect or incomplete documentation can lead to delay in transfers or attract additional scrutiny at the bank level. The new Forms 145 and 146 aim to streamline the reporting process, ensuring that taxpayers fill the correct form before making any foreign payment.