Central government new scheme: concession offered for purchases through debit/credit cards
Posted on: 01/Sep/2015 5:01:39 PM
Central government has decided to offer some concession to customers who buy items using credit / debit cards. Central government has been encouraging financial transactions through net-banking, payment through mobile phones, mobile transfer of amount from one bank to the other, etc.
The central government strongly believes that with above modes of transactions, the generation and circulation of black money will be curbed. This is due to the main reason that all transactional details will be clearly spelt out and detailed in the above modes of payment and there would be nothing shady. Moreover, malpractices like false accounts, or giving an mount in excess of the actual payment can all be prevented. All transactions would be straightforward and honest.
Hence, central government has decided to encourage more people to follow these modes of payment by offering certain concessions. It is planning to offer a specific percentage of tax concession for the customers who make payments by the above modes.
It has also planned to offer incentive payments to the trading organisations on these transactions. Currently, the trading organisations which accept debit card payment are offered incentives from 0.75% to 1%.
In a similar mode, central government has planned to offer some incentive payments for transactions like buying petrol for the vehicle, paying for travel tickets, or buying LPG cooking gas cylinder.
Central government has made a detailed draft proposal and circulated to all departments and banks. Based on the feedbacks and suggestions, it has made a note. This will bne discussed during the cabinet meeting and once approved, central government will announce these concessions for all e-payments.
What are e-payment modes?
- Credit card
- Debit card
- ECS
- NEFT
- IMBS
- Net banking
- Mobile banking
Benefits:
- Simple safe and no scope for malpractices
- No need to visit the bank or other places
- No need to carry hard cash / currency - so no possibility for losing or robbery
- 24-hours service
- Ready access of all details
There are scopes for some mistakes as well: Though it is simple to operate, only educated and those who know how to operate can use. Even small mistakes can result in loss of money. So, extreme caution is very much required.
