It’s been a month since the Indian government banned old 500 and 1000-rupee notes as a component of its battle against unaccounted or black money. Fin. Minister Minister Arun Jaitley today declared 11 measures that the legislature has taken to facilitate the Digital switchover, including a 0.75 for every penny markdown for the personal’s who buy petrol or diesel through digital payments.
Following are the highlights of Finance Minister Arun Jaitley’s media briefing:
- The point of demonetisation is to money exchanges however much as could be expected.
- The Indian government will give 2 POS or Point of Sale machines for nothing to every town that has a population of more than 8,000. Around 75 crore people will access these machines.
- Suburban train passengers who pay digitally for their tickets will get a 0.5% rebate. This discount will be applicable from January 1, 2017.
- Railways passengers who buy tickets online will be qualified for a insurance coverage of Rs. 10 lakh.
- Passengers buying tickets online will also get a 5% discount on space, catering and retiring room at railway stations across India.
- No service tax will be charged on transactions of up to Rs. 2,000/- if a card is used.
- People paying general insurance premiums will get a 10% discount and 8% discount for life insurance if the payment is made online.
- Government forms will not charge a transaction fee for digital payments.
- People who pay digitally, and use Smart TAGs and RFID services at toll plazas on national highways will get a 10% discount.
- Extreme cash can also lead to malpractices, and thus it is being depressed. The shift to a ‘less-cash’ economy has to be realized.
- The cost of these discounts will be tolerated by the concerned organizations.
- Dealing in cash brings its own costs and loads, so this will be a welcome alteration.
Only depositing money into bank accounts won’t change black to white. All these transactions will be closely scrutinized and a tax will be compulsory on it.