RBI Allows RBL Bank To Collect Indirect Taxes: Report

The Reserve Bank has granted permission to RBL Bank to collect indirect taxes on behalf of the government, the private sector lender said on Friday. It has already been granted permission to collect direct taxes.

"RBL Bank has been authorized by the Reserve Bank of India (RBI), based on recommendation from the Controller General of Accounts, Ministry of Finance and Government of India, to collect indirect taxes on behalf of the Central Board of Indirect Taxes and Customs (CBIC)," the bank said in a regulatory filing.

The bank had recently been authorised to collect direct taxes on behalf of the Central Board of Direct Taxes (CBDT). "With this announcement, the bank can now collect direct and indirect taxes," it said.

The private sector lender said after technical integration, its corporate and individual customers will be able to pay their indirect taxes through the bank's mobile banking or net banking platforms as well as through the branch banking network.