Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: Central Excise rule to resale the machines to a new company :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: TDS :: ACCOUNTING STANDARDS :: due date for vat payment :: form 3cd :: VAT RATES :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TAX RATES - GOODS TAXABLE @ 4% :: articles on VAT and GST in India :: cpt
 
 
News Headlines »
 Income tax returns (ITR) filing guide: 10 excellent tax-saving options other than Section 80C to save money
 TDS Rate Chart for AY 2018-19
 Last date to submit third installment of advance tax is December 15
 5 tax-saving funds that have given stellar returns in the past 5 years
 Find out which ITR Form is suitable for you
  Pr CIT vs. Baisetty Revathi (Andhra Pradesh High Court)
 What is income tax?
 Refund procedure initiated under GST
 Income tax returns (ITR) filing: How to get capital gains tax benefits on assets in own name
 7 avenues to help you save tax under Section 80C of Income Tax Act
 How to make income tax law less taxing

Govt proposes tax benefits for credit and debit card payments
June, 23rd 2015

The central government on Monday came out with a raft of proposals to encourage electronic transactions, including income tax benefits for payments made through debit or credit cards, a move aimed at cracking down on black money.

Transaction charges on card payments at petrol pumps, gas agencies and railway tickets could be done away with. The government may also make it mandatory for all transactions above Rs1 lakh to only be conducted electronically.

These measures, listed in the “draft proposals for facilitating electronic transactions” that the government put up for public comments, is part of a broader strategy to discourage the use of cash and clamp down on India’s bustling parallel economy that operates outside the legitimate financial system.

Comments can be sent in till June 29.

"Tax benefits in terms of income tax rebates to be considered to consumers for paying a certain proportion of their expenditure through electronic means,” said the draft.

The e-transactions will include those made through debit/credit cards, mobile wallets, apps, net banking, electronic clearing service, National Electronic Fund Transfer and immediate payment service (IMPS).

The draft did not specify the tax sops the government could offer. The government is also looking at encouraging shopkeepers and traders to accept electronic payments rather than cash.

“Appropriate tax rebate can be extended to a merchant if at least say 50% value of the transaction is through electronic means. Alternatively, 1-2% reduction in value added tax could be considered on all electronic transactions by merchants,” the draft said.

Utility service providers such as electricity companies and telecom operators could offer a discount if subscribers paid their bills electronically, similar to state-owned BSNL that provides an incentive of 1% of the billed amount on electronic payments.

The government is also considering a levy of a nominal cash-handling charge on transactions greater than a specified level, implying that cash payment beyond a certain threshold may attract a transaction fee.

Also, currently, banks have to report the aggregate of all the payments made by a credit cardholder as one transaction, if such an amount is Rs 2 lakh in a year. The ceiling could be raised to Rs 5 lakh or more.

The government also proposed appropriate changes in the regulatory structure, if required, to promote mobile-based payment systems.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Internet Marketing Website Marketing Internet Promotion Internet Marketing India Website Marketing India Internet Promotion India Internet Marketing Consultancy Website Marketing Consulta

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions