People in India can use old Rs 500
notes for paying utility bills or buying medicines till Wednesday mid-night as
the government has decided not to extend exemptions beyond December 15, 2016.
According to news sources, mobile recharge
facility with old Rs 500 notes will not be available. However, people can
deposit invalid Rs 500 currency in their bank accounts.
notes for paying utility bills or buying medicines till Wednesday mid-night as
the government has decided not to extend exemptions beyond December 15, 2016.
According to news sources, mobile recharge
facility with old Rs 500 notes will not be available. However, people can
deposit invalid Rs 500 currency in their bank accounts.
“Exemptions for use of old Rs 500
notes will end on December 15 midnight,” Economic Affairs Secretary
Shaktikanta Das tweeted.
notes will end on December 15 midnight,” Economic Affairs Secretary
Shaktikanta Das tweeted.
That means old 500 currency notes will
not be acceptable at medicine shops and for paying public utility services such
as payment of electricity and water bill etc.
not be acceptable at medicine shops and for paying public utility services such
as payment of electricity and water bill etc.
The government had already withdrawn
some of the relaxations like booking railway or plane tickets and payment at
the petrol pump and toll plaza by using the old Rs 500 notes.
some of the relaxations like booking railway or plane tickets and payment at
the petrol pump and toll plaza by using the old Rs 500 notes.
While cancelling legal tender of 500
and 1,000 notes on November 8, the government had allowed them to be used for
utility bill payments for the first 72 hours. This deadline was extended
repeatedly and the last extension was granted till December 15.
and 1,000 notes on November 8, the government had allowed them to be used for
utility bill payments for the first 72 hours. This deadline was extended
repeatedly and the last extension was granted till December 15.
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| Pic Courtesy: The Economic Times |
In between, the government withdrew
use of 1,000 rupee notes for utility bill payments and discontinued use of even
500 ones for services like purchase of petrol and diesel at petrol pumps as
well as buying air tickets at airport counters.
use of 1,000 rupee notes for utility bill payments and discontinued use of even
500 ones for services like purchase of petrol and diesel at petrol pumps as
well as buying air tickets at airport counters.
Since the demonetisation announcement,
the government has been pushing towards promoting digital transactions and has
come out with a package to incentivise cashless payments.
the government has been pushing towards promoting digital transactions and has
come out with a package to incentivise cashless payments.
Now petrol, railway tickets and
insurance policies of PSU companies will cost less if bought through
debit/credit cards or other digital modes. The government also waived service
tax for payments up to Rs 2,000 made through cards and decided to do away with
transaction fee for payment to the central government departments and PSUs.
insurance policies of PSU companies will cost less if bought through
debit/credit cards or other digital modes. The government also waived service
tax for payments up to Rs 2,000 made through cards and decided to do away with
transaction fee for payment to the central government departments and PSUs.
