What changed
RBI, based on the Standing Committee's April 15, 2008 meeting and in consultation with the Controller General of Accounts, revised the remittance period for all government transactions received via e-payments by Public Sector Banks. The new timeline is T+2 working days (excluding put through date) effective August 1, 2008, and will further tighten to T+1 working day from January 1, 2009.
What it means for you
Banks must accelerate their internal processes for remitting government receipts collected through e-payment channels like EASIEST and OLTAS. This reduces float time and demands faster reconciliation and fund transfer to government accounts, impacting cash management and operational workflows.
What you must do
- Update internal systems and cut-off timings to ensure e-payment remittances meet T+2 from August 1, 2008, and T+1 from January 1, 2009.
- Train branch and treasury staff on the new remittance deadlines and the exclusion of the put-through date.
- Monitor daily remittance batches to avoid delays and potential penalties for non-compliance.
- Coordinate with IT teams to adjust automated remittance schedules for EASIEST and OLTAS transactions.
Who it affects
State Bank of India and its associates, All nationalised banks, Jammu & Kashmir Bank Ltd., Treasury and remittance departments of PSBs, Government accounts teams
What does T+2 working days mean here?
It means the remittance must be completed within two working days after the transaction date, not counting the day the payment was put through.
Which transactions are covered under this circular?
All government transactions received through e-payments, including those via EASIEST and OLTAS systems, by Public Sector Banks.
When does the T+1 requirement take effect?
The tighter T+1 working day timeline becomes effective from January 1, 2009.