Tuesday, November 8, 2016

Old Rs. 500 and 1000 are not legal tender any more



Old Rs. 500 and 1000 are not legal tender any more

NOTE - Only Old High Denomination Bank Notes (Rs. 1000 and Rs. 500) are banned. New series of Rs. 2000 and Rs. 500 will be issued shortly



PM Shri Narendra Modi, today evening (Nov 8, 2016) addressed the nation and announced that old higher denominations of Rs. 500 and Rs. 1000 will not be legal tender from this midnight .


Some important points to be noted -

  • Old High Denomination Bank Notes of Rs. 500 and 1000 are being withdrawn from midnight, and will not be legal tender any more.
  • New series of Rs. 2000 and Rs. 500 denominations will be launched soon.


Deposit / Exchange old notes -

  • Deposit any amount of old notes of Rs. 500 and Rs. 1000 in bank or post office accounts from Nov 10 (Thursday) to Dec 30 (Friday), i.e., 50 days to deposit old notes and credit your account. However, in case of non-KYC compliant account, a maximum of Rs. 50,000 can be deposited.
    Those unable to deposit by Dec 30 for some reason, can change them till March 31, 2017, by furnishing Officially Valid Documents (OVD) (ID proof) in RBI specified offices only.
  • Exchange old notes of Rs. 500 or Rs. 1000 at any bank, head post office or sub post office, by showing your ID proof (OVD), maximum of Rs. 4,000 till Nov 24, 2016.



Restrictions imposed -
  • On Nov 9 (Wednesday) and in some places on Nov 10 (Thursday), ATMs will not work. In the first few days till Nov 18, there will be a limit of Rs. 2,000 per day per card, which will be raised to Rs. 4,000 from Nov 19.
  • Banks and government treasuries will be closed for public on November 9 (Wednesday)
  • There will be a maximum cash withdrawal limit, which is Rs. 10,000 / day and Rs. 20,000 / week for the first fortnight (till Nov 24, 2016). This limit may be increased in the coming days.



No restrictions on -

  • No restriction on non-cash payments, like payments by Cheques, Demand Drafts (DD), Debit / Credit Cards, Electronic transfer, Internet / Mobile Banking, etc.



Minimize inconvenience till Nov 11 (Friday) midnight -

  • Government hospitals and pharmacies at such hospitals will continue to accept old Rs. 500 and Rs. 1000 notes for payment till Nov 11 (Friday) midnight.
  • Ticket counters of railway, government bus and airline will accept the same for ticket booking till Nov 11 midnight.
  • The followings will also accept old Rs. 500 and Rs. 1000 notes till Nov 11 midnight -
    • Petrol, diesel and gas stations, authorized by public sector oil companies
    • Consumer co-operative stores, authorized by state or central government
    • Milk booths, authorized by state governments
    • Crematoriums and cemeteries / burial grounds





* There is no official confirmation by RBI on RFID tags for tracking currency notes. These might be rumors. 



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Sunday, July 3, 2016

Bankoncepts Study Plan 2016-17




Bankoncepts Study Plan 2016-17


Dear banking aspirants, we've worked out a 10 week Study Plan on Banking Topics. Hope it will help you to study 'banking awareness' in a more systematic way.

You can read the topics from Banking Topics List, and solve the Question Sets given in the Study Plan.



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Monday, February 29, 2016

Union Budget 2016-17



Highlights of Union Budget 2016-17


A.  TAX

Cess

  • Infrastructure and Agriculture Cess to be levied
  • Pollution Cess of 1 % on small petrol, LPG and CNG cars; 2.5 % on diesel cars of certain specifications; 4 % on higher-end models
  • Krishi Kalyan Cess to be levied on all services - 0.5 %

Service Charge
  • Service Charge on purchase of Luxury cars (over Rs. 10 lakh) - 1 %
  • Service Charge on purchase of goods and services (over Rs. 2 lakh) in cash - 1 %
High-end Taxes
  • High capacity tax for SUV cars - 4 %
  • Companies with revenue less than Rs. 5 crore to be taxed at - 29 % + Surcharge
  • Dividend in excess of Rs. 10 lakh per annum to be taxed at additional - 10 %
Excise Duty
  • Excise Duty on tobacco products (except beedis) - raised from 10 % to 15 %
  • Excise Duty on articles of jewellery (excluding silver) - 1 %
Tax Compliance Window
  • Limited tax compliance window from June 1 - Sep 30 for declaring undisclosed income at - 45 % including surcharge and penalties


B.  PERSONAL FINANCE

Income Tax
  • No change in existing Income Tax Slabs
  • 15 % surcharge (raised from 12 %) on Income above Rs. 1 crore
EPF - Employees provident fund
  • Rs. 1000 crore allocated for new EPF (Employees' Provident Fund) scheme
  • Government will pay EPF contribution of 8.33 % for all new employees for first 3 years
Exemptions and benefits
  • Deduction limit under Section 87A of I-T Act raised from Rs. 2,000 to Rs. 5,000 per annum (applicable to those with total income of less than Rs. 5 lakh)
  • Relief for taxpayers who do not own a house and don't get house rent allowance (HRA) from employers. Under Section 80GG, deduction for rent paid will be raised from Rs. 24,000 to Rs. 60,000 per annum
  • Additional exemption of Rs. 50,000 for housing loans up to Rs. 35 lakh (provided cost of house is not above Rs. 50 lakh)
  • Service Tax exempted for construction of houses less than 60 square meter


C.  SOCIAL

Allocations
  • MGNREGA for 2016-17 allocated - Rs. 38,500 crore
  • Swacch Bharat Abhiyan alocated - Rs. 9,500 crore
  • Hub to support SC / ST entrepreneurs 
LPG, cooking gas
  • Government is launching a new initiative to provide cooking gas to BPL families with state support
  • LPG connections to be provided under the name of women members of family - Rs. 2,000 crore allocated for 5 years for BPL families
Rural and Urban
  • 2.87 lakh crore grants to Gram panchayats and municipalities - a quantum jump of 228 %
  • 300 urban clusters to be set up under Shyama Prasad Mukherji Rurban Mission
Animal Welfare
  • 4 schemes for animal welfare


D.  HEALTH

Dialysis
  • 2.2 lakh renal patients added every year in India. Basis dialysis equipment gets some relief
  • National Dialysis Service Program with funds through PPP mode to provide dialysis at all district hospitals
Health cover
  • A new health protection scheme for health cover upto 1 lakh per family
  • Senior Citizens will get additional healthcare cover of Rs. 30,000 under the new scheme
Generic drug store
  • PM Jan Aushadhi Yojana to be strengthened, 300 generic drug store to be opened


E.  EDUCATION
  • Scheme to get Rs. 500 crore for promoting entrepreneurship among SC / ST
  • 10 public and 10 private educational institutions to be made world-class
  • Digital repository for all school leaving certificates and diplomas.
  • Rs. 1,000 crore for higher education financing
  • Rs. 1,700 crore for 1,500 multi-skill development centers
  • Digital literacy scheme to be launched to cover 6 crore additional rural households
  • Entrepreneurship training to be provided across schools, colleges and massive online courses
  • Objective to skill 1 crore youth in the next 3 years under the PM Kaushal Vikas Yojana
  • National Skill Development Mission (NSDM) has imparted training to 76 lakh youth,


F.  ENERGY
  • Rs. 3,000 crore earmarked for nuclear power generation
  • Govt drawing comprehensive plan to be implemented in next 15-20 years for exploiting nuclear energy
  • Govt to provide incentive for deep-water gas exploration
  • Deep-water gas new disc to get calibrated market freedom, pre-determined ceiling price based on landed price of alternate fuels


G.  INVESTMENTS AND INFRASTRUCTURE
  • Rs. 27,000 crore to be spent on roadways
  • 65 eligible habitats to be connected via 2.23 lakh kms of road. Current construction pace is 100 kms / day
  • Shops to be given option to remain open all 7 days in a week across markets
  • Rs. 55,000 crore for roads and highways. Total allocation for road construction, including PMGSY - Rs. 97,000 crore
  • India's highest-ever production of motor vehicles was recorded in 2015
  • Total outlay for infrastructure in Budget 2016 now stands at Rs. 2,21,246 crore
  • New greenfield ports to be developed on east and west coasts
  • Revival of under-served airports. Center to partner with states to revive small airports for regional connectivity
  • 100 % FDI in marketing of food products produced and marketed in India
  • Dept. of Disinvestment to be renamed as Dept. of Investment and Public Asset Management
  • Govt will amend Motor Vehicle Act in passenger vehicle segment to allow innovation
  • MAT will be applicable for startups that qualify for 100 % tax exemption
  • Direct Tax proposals result in revenue loss of Rs. 1,060 crore; Indirect Tax proposals result in gain of Rs. 20,670 crore


H.  AGRICULTURE
  • Total allocation for agriculture and farmer welfare at Rs. 35,984 crore
  • 28.5 lakh hectares of land will be brought under irrigation
  • 5 lakh acres to be brought under organic farming over a 3 year period
  • Rs. 60,000 crore for recharging of ground water as there is urgent need to focus on drought hit areas cluster development for water conservation
  • Dedicated Irrigation Fund in NABARD of Rs. 20,000 crore
  • Nominal premium and highest ever compensation in case of crop loss under the PM Fasal Bima Yojana


I.  BANKING
  • Banks get  - Rs. 25,000 crore towards recapitalization of Public Sector Banks. Banking Board Bureau will be operationalized. 
  • Target of disbursement under MUDRA increased to 1.8 lakh crore
  • Process of transfer of government stake in IDBI Bank below - 50 % started
  • General Insurance companies will be listed in the stock exchange
  • Govt to increase ATMs, micro-ATMs in Post Offices in next 3 years




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