Issue TDS certificates on time to customers: RBI to banks

The RBI today asked banks to put in place systems to enable timely issuance of TDS certificates to their customers.

Also Read: RBI releases guidelines for foreign bank subsidiarisation

The Reserve Bank in a notification said that it has been brought to its notice that some banks are not providing TDS Certificate in Form 16A to their customers in time, causing inconvenience to customers in filing their income-tax returns. "The matter has been examined and with a view to protect interest of the depositors and for rendering better customer service, banks are advised to provide to their customers from whose income tax has been deducted at source, TDS Certificate in Form 16A," the RBI said.

Banks are advised to put in place systems that will enable them to provide Form 16A to the customers within the time-frame prescribed under the Income Tax Rules, it added. "Banks should avoid waiting till the last moment," the RBI added.