Understanding Form 157
For Indian residents planning to travel internationally, a new declaration form, Form 157, has been introduced under the Income Tax Act, 2025. This form is specifically
for individuals who do not possess a Permanent Account Number (PAN) and also do not have any income that is subject to taxation in India. Its primary purpose is to enhance tax compliance by collecting information from outbound travelers who typically might not interact with the tax system. This initiative aims to streamline the process of identifying individuals leaving the country, even if they fall outside the traditional tax bracket. The previous system involved Form 156, which was PAN-based and could be filed online, but Form 157 caters to a different group with a manual submission process, emphasizing its role in capturing data from those without a PAN or taxable income. It serves as a certification that the individual is leaving India and has no tax liabilities or obligation to hold a PAN, simplifying the departure process for this specific demographic.
Who Needs to File?
The requirement to file Form 157 is quite specific: it applies to any individual who is domiciled in India and intends to travel to a foreign country. Crucially, this rule is for those who do not have a PAN and, simultaneously, have no income that is chargeable to tax in India. The Income Tax Department mandates this filing, making it a mandatory step for such individuals before they can depart from the country, unless a specific exemption is granted by the government. It's important to note that this form is event-based, meaning it needs to be submitted every single time you plan to travel abroad. Therefore, the frequency of your international travel directly dictates how often you will need to complete and submit Form 157. This ensures continuous oversight and data collection regarding outbound travelers who are not otherwise registered with the tax authorities.
Documentation and Submission
When preparing to file Form 157, the documentation required is intentionally kept minimal to facilitate ease of submission for those without a PAN. You will primarily need your passport as a form of identification. In the event that you do not have a passport, an Emergency Certificate issued by the relevant authorities can be used as an alternative. No other supporting documents or tax-related proofs are necessary, as the form itself is a simple declaration. While providing Aadhaar details is not compulsory, the Income Tax Department recommends including your mobile number. This is to enable faster communication and streamline the verification process with the department. The submission of Form 157 is a manual process; it cannot be filed online. You must present the completed form in person to your jurisdictional Assessing Officer before your scheduled departure date. Given the manual nature of the submission, there is flexibility; you can make corrections to the form before filing. Furthermore, if you realize an error after submission, you can request a rectification to amend the details.
