Scheme for Collection of Direct and Indirect Taxes – Reporting and Accounting of March transactions - RBI's Instructions to Banks
RBI had earlier issued instructions to the Banks vide Circular DGBA.GAD.No.H- 7417/42.01.029/2008-09 dated February 25, 2009 advising the procedure to be followed for reporting and accounting of collection of Direct Taxes (CBDT) and Indirect Taxes (CBEC) and transactions of Departmentalised Ministries at the Receiving/Nodal/Focal Point branches of the banks for the Financial Year 2008-09.
The Government of India has decided that the date of closure of Residual Transactions for the month of March 2010 be fixed as April 15, 2010 for the Financial Year 2009-10. In view of the ensuing closing of Government Accounts for the financial year 2009-10, the Banks are directed to reiterate the instructions to their branches regarding introduction of special messenger arrangements at their receiving branches (situated locally) from the second fortnight of March 2010. Receiving branches not situated locally should also adopt special arrangements such as courier service etc from the second fortnight of March 2010 for passing on challans/scrolls etc to the Nodal/Focal Point branches so that all payments and collections made on behalf of Government towards the end of March are accounted for in the same financial year. The branches may also be instructed to take all necessary steps to ensure that the arrears, if any, are cleared before March 15, 2010.
As regards reporting of March 2010 transactions by Nodal/Focal Point branches in April, the branches are advised to follow the procedure as outlined in the Annexure to this Instruction.
To sum up, the Nodal/Focal Point branches will be required to prepare separate sets of scrolls, one pertaining to March Residual Transactions and another for April Transactions during the first 15 days of April 2010. The Nodal/Focal Point branches should also ensure that the accounts for all transactions (revenues/tax collections/payments) are effected at the receiving branches upto March 31, 2010 in the accounts for the current financial year itself and are not mixed up with the transactions of April 2010. Also, while reporting transactions pertaining to March 2010 upto April 15, 2010, the transactions of April 2010 should not be mixed up with “March Residual Transactions."