Quick Summary
There is no GST on withdrawal of cash from banks, said Finance Minister Sitharaman on Tuesday. "There is no GST on withdrawal of cash from banks... 5+5=10 transactions in a month is totally free when withdrawn from ATMs," said Finance Minister Nirmala Sitharaman, in a discussion on the rising prices, in Rajya Sabha.
She added that GST tax only on bank purchasing cheque book from printers. She said there is GST on customer cheques and on the withdrawal of cash from banks.
FAQ :
No, the Finance Minister has confirmed there is no GST on the withdrawal of cash from banks.
Finance Minister Nirmala Sitharaman stated that there is no GST on withdrawing cash from banks and that 5+5=10 transactions in a month are free when withdrawn from ATMs.
While the withdrawal of cash from banks is not subject to GST, there may be charges if you exceed the free transaction limit from ATMs, which is typically 10 transactions per month (5 from own bank, 5 from other banks).
GST is applied on bank purchasing cheque books from printers. It is not applied on customer cheque books or the withdrawal of cash.
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