Banks Can Accept Tax Dues In Cash Under Income Declaration Scheme: RBI

Banks Can Accept Tax Dues In Cash Under Income Declaration Scheme: RBI

Under the Income Declaration Scheme 2016, one can come clean by paying tax, penalty and cess totalling 45 per cent of the undisclosed income

MUMBAI, SEPTEMBER 8:  

The RBI on Thursday directed banks to accept tax dues in cash under the domestic black money declaration scheme, which closes on September 30.

Under the Income Declaration Scheme 2016, which came into effect on June 1, one can come clean by paying tax, penalty and cess totalling 45 per cent of the undisclosed income.

It was brought to RBI’s notice by the Centre that “banks are hesitant” to allow deposit of large amounts of cash by declarants under the scheme. “We advise that banks must invariably accept cash, irrespective of the amount, over the counters from all declarants who desire to deposit cash at the counters, including deposits under the above Scheme through challan ITNS-286,” the central bank said. The banks, however, have to comply with the Know Your Customer requirements.

Source:The Hindu Business Line