Form 3CEAD

Relevant Statute

• Section 286 of the Income-tax Act, 1961
• Rule 10DB of the Income-tax Rules, 1962

Legal Provision

• Form No. 3CEAD is the Country-by-Country Report (CbCR) to be furnished by:

• the parent entity or alternate reporting entity resident in India under section 286(2); or
• a resident constituent entity under section 286(4) if the parent entity is in a country that either does not require CbCR filing, has no exchange agreement with India, or has a systemic failure.
  • A resident constituent entity under section 286(4) need not furnish CbCR if an alternate reporting entity files it in its home country and prescribed conditions are satisfied, including notification to the prescribed authority in Form No. 3CEAC.

Applicable for:

• Indian resident Parent Entitiesor Alternate Reporting Entities of international groups.
• Indian resident Constituent Entitiesof international groups with foreign-resident parents (under prescribed conditions)

Effective From:

• Form 3CEAD was introduced by the IT (Twenty-fourth Amdt.) Rules, 2017, w.e.f. 31-10-2017.

Pre-requisite While Filing the Form

• Not applicable

Due Date

• The CbCR must be filed with the designated Joint Director within 12 months from the end of the reporting accounting year, or within 6 months from the month of notification of systemic failure.

How to file it

• Form 3CEAD is to be filed online at https://www.incometax.gov.in/iec/foportal/

Consequences of Non-Filing

• Penalty under Section 271GB(1):

• 5,000/day (first month)
• 15,000/day (after one month)
• 50,000/day (after penalty order)
  • Penalty under Section 271GB(4):
• 5,00,000 for furnishing inaccurate report knowingly or without timely rectification.