Banks must invariably accept cash, irrespective of amount, under Income Declaration Scheme: RBI

Mumbai, Sep 9 (KNN) The Reserve Bank of India (RBI) has asked the banks to accept tax dues in cash under the domestic black money declaration scheme which would close on September 30.

“As you are aware, the Income Declaration Scheme, 2016 (the Scheme) has come into effect from June 1, 2016 and some declarants may like to pay their tax dues in cash. In this connection, it has been brought to our notice by the Government that banks are hesitant in allowing deposit of large amounts of cash by the declarants under the Scheme, with them, for credit to Government account,” RBI said in a notification on Thursday.

"We advise that banks must invariably accept cash, irrespective of 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 added.

The banks, however, have to comply with the Know Your Customer requirements. (KNN Bureau)