|
RBI/ 2006-07/ 171
Ref. No. DGBA.CDD. No. H- 7667 / 15.15.001 / 2006-07
November 10,
2006
The General Manager
Government Accounts
Department, Head Office
State Bank of India
/ State Bank of Indore / State Bank of Patiala
State Bank of Bikaner
& Jaipur / State Bank of Saurashtra
State Bank of Travancore
/ State Bank of Hyderabad / State Bank of Mysore
Allahabad Bank / Bank
of Baroda / Bank of India / Bank of Maharashtra/
Canara Bank / Central
Bank of India / Corporation Bank / Dena Bank / Indian Bank/
Indian Overseas Bank
/ Punjab National Bank / Syndicate Bank /UCO Bank /
Union Bank of India
/ United Bank of India / ICICI Bank Ltd / Vijaya Bank
Dear Sir,
TDS
on interest payable under Senior Citizens Savings Scheme, 2004 -Non-acceptance
of Form No. 15 H and 15 G by Banks
Please refer
to our Circular RBI/ 2005-06/ 431 Ref. No. DGBA.CDD.N0. H- 20692/ 15.15.001/
2005-06 dated June 28, 2006 forwarding certain clarifications on the issues
related to TDS on Senior Citizens Savings Scheme, 2004.
2. We have
received a letter from Government of India, Ministry of Finance, New Delhi indicating
that they are still receiving a number of complaints / grievances regarding
non-acceptance of Form No. 15G or 15H by the Agency banks and that tax is being
deducted from the interest amounts despite the depositor filing or submitting
these forms.
3. We, therefore,
re-iterate that Agency banks should not make any deduction of tax at source
where depositor is filing Form 15H or Form 15G or a certificate under Section
197(1) of Income Tax Act 1961, as the case may be, as prescribed in Government
of India Office Memorandum No.2/8/2005-NS-II dated June 23, 2006, a copy of
which has already been sent to you.
4. The contents
of this circular may be brought to the notice of designated branches of your
bank for information and compliance.
5. Please
acknowledge receipt.
Yours faithfully,
(B.B. Sangma)
General Manager |