RBI/2004/314
DGBA.GAD.NO.H- 2852/42.01.0.34/2004-05
December 27, 2004
The Chairman/Managing Director
All Agency Banks (As per list)
Dear Sir,
On-line Tax Accounting System
(OLTAS) - Discrepancy in the Challan Data Transmitted to Tax Information Network
(TIN) and Physical Challan Sent to Zonal Accounts Office ( ZAO)
As you are aware, On-line Tax Accounting
System (OLTAS) has been introduced with effect from June 1, 2004. Under the
system, CBDT dues collection data are sent by Agency banks on-line to Income
Tax Department's TIN and physical copy (scroll and challan) to the respective
ZAOs. We have been monitoring the quality of data uploaded and pointing out
the lacunae noticed from time to time to your bank's notice for rectification.
In this connection, a reference is also invited to our Circular
Nos. DGBA.GAD.No.H-69 & 169/42.01.034/2004-05 dated July28,2004 and September
4, 2004 respectively.
2. Recently, a Sub-group appointed
by the High Powered Committee on OLTAS made a spot study in one of the Zonal
Accounting Offices (ZAOs) to study the challan data transmitted to TIN by Nodal
Branches and the physical scrolls and challans made over to the concerned ZAOs.
The study revealed that there were variations between the data received online
by the Regional Computer Centre (Income-tax Department) from TIN and those reported in the physical
scroll and challan received at the ZAO from the Nodal Branches of the authorized
banks. The Sub-group found the following reasons for such a mismatch:
- Non uploading of data by all the branches of
the banks.
- Not following procedure laid down in para 6
of "Accounting Procedure Relating to On-line Tax Accounting System (OLTAS)"
by Nodal Branches particularly the procedure laid down for validations and
veracity check of the data.
- Possibility of incomplete data transmitted to
TIN by some of the collecting branches whereas full data in scroll with challans
submitted by the Nodal Branch to Zonal Accounts Office (ZAO).
3.
The "Accounting Procedure Relating to Online Tax Accounting System (OLTAS)"
entrusts the following specific functions to Nodal Branches to be carried
out on day to day basis (Para 6.2) :
a. It (Nodal Branch) will collate the challan
data on its computer system and transmit the data in the format prescribed
by the Income Tax Department to its Link Cell for onward transmission to the
Department's TIN on the same day after giving a common Nodal Branch scroll
number and date to all the challan records being transmitted on that day.
b. It will also generate a copy of the summary
and main scroll based on the computer data in a floppy or other media (as
informed by ZAO) and transmit it to the ZAO on the next working day.
C. On receipt of the hard copy
of the computer-generated Branch scrolls from the collecting branch, the Nodal
branch will validate that these computer-generated branch scrolls exactly match
the data transmitted earlier by the collecting branches. It will consolidate
these computer printed Branch scrolls (with challans) received from all the
branches including its own along with the main scroll by stitching the scrolls
together Major head-wise. It will also generate a computer printout of
the Major head-wise Main scrolls and Summary. It will then forward
these (with challans) to the ZAO concerned on a daily basis.
4.
It was also advised in our circulars dated July 28, 2004 and September 4, 2004
referred to above that the Branch Manager of Nodal Branch must ensure that Major
headwise collection shown in Nodal Branch Scroll of a particular date submitted
to the ZAO tallies with the corresponding totals for those in the data transmitted
on OLTAS to the Link Cell for ultimate submission to TIN. It was reiterated
in para 2(e) of the circular dated September 4, 2004 that the collection
data being sent to ZAO and to TIN for a particular day must match both
in respect of number of challans and Major heads on day to day basis.
5.
Inspite of repeated instructions as above from us, the compliance by banks is
not satisfactory leading to innumerable complaints by assessees and other stakeholders.
Government has also brought to our notice that there are significant variations
between the collection figures reported online to TIN and those on physical
scroll/challan sent to ZAOs resulting in large amount remaining outstanding
in Suspense Account.
6. A
doubt has been expressed that since para 6.2(a) of the Accounting Procedure
requires transmission of on line data to Link Cell on the same day while paper
challans reach the Nodal Branches later, such a vertification is not possible.
The matter has been considered by us in consultation with Government and
it is clarified that in the first place the collecting branches must ensure
that there is no mismatch between the data being transmitted by them online
(or on floppies) to the Nodal Branch and the physical scroll (with physical
challan) of the branch sent to the Nodal Branch for the day. It shall be
the duty of Nodal Branch to reconcile the data received on-line (or floppy)
and the physical challans of a particular date for each collecting branch before
sending the same to Link Cell and ZAO. Nodal Branches should transmit
the collection data on-line to Link Cell only on the day on which the Nodal
Bank scroll is sent to ZAO and after ensuring that there is no mismatch between
the two sets of data.
7. It is reiterated
that all collecting branches must ensure that no challan remains unreported
on OLTAS and that Nodal Branches must ensure that there is no mismatch between
the data transmitted to Link Cell online and scroll (with challans) sent to
ZAO on a day to day basis both in respect of major headwise collection and the
number of challans.
8. As you are aware, in the OLTAS
scenario, if the challan data are not uploaded to the TIN accurately, the Tax
Authorities would treat the tax payer as "assessee in default" resulting in
large scale complaints and litigations.With a view to preempt such a situation,
we advise your bank to take appropriate steps to put in place the guidelines
issued by us from time to time.
9. Please arrange accordingly.
Yours faithfully,
Sd/-
( Prabal Sen )
Chief General Manager in-Charge