CBDT launches Refund Banker scheme through SBI

New Delhi, Jan 24 (UNI) The Government today launched a scheme to issue Income Tax refund orders to the tax payers for the payment made in excess while paying tax through banks under the Refund Banker scheme.

With the introduction of this scheme, the Income Tax Department will keep away from making refunds as is practice at present.

Under this scheme, the tax payers filing their returns through Electronic Clearance System (ECS) will be able to get their refunds within 15-20 days.

To begin with, the scheme has been started in association with the State Bank of India on a pilot basis at Patna and New Delhi and later on will be introduced all over the country.

After receiving the details and directive on online from the IT department, the bank will dispatch the refund within three days and the tax payers will not have to bear any expense for getting the refund.

Launching the scheme from his office, Finance Minister P Chidambaram issued refund cheques to three tax payers on the spot.

Mr Chidambaram said ''this scheme will be launched throughout the country and later other banks will also be given the opportunity to enter this scheme on competitive basis.'' The Finance Minister further said that ''tax refund is equally important as tax payment. With the confident and transparent refund management, the tax payer will not hesitate to deposit his tax with the department.'' Mr Chidambaram said that to undo the mismanagement in making refund and bogus payments on this account, the Central Board of Direct Taxes (CBDT) has taken this step at the first place. It will positively be functional throughout the country within a year.

CBDT spokesman informed that with this pilot project about 8 to 10 lakh salaried people and other businessmen tax payers will be benefitted in Delhi and Patna.

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