You are here: Home » PTI Stories » National » News
Business Standard

Rs 500/1000 scrapped on recommendations of RBI: Prasad

Press Trust of India  |  New Delhi 

and IT Minister today said the decision to scrap Rs 500/1000 notes was taken by the government on the recommendation of the Reserve Bank of India.

"It is not demonetisation. It is a wrong expression. Our government has only taken decision upon recommendation of Reserve who is authority to take decisions that notes of Rs 500 and Rs 1000 will not be a legal tender. It is not in classical economic sense," he said.



Government scrapped acceptance of old Rs 500 and Rs 1000 notes from November 9 onward but allowed their payment for some essential services in limited manner.

Listing out steps taken by the government to deal with menace of unaccounted money at an event of PHD Chamber of Commerce and Industry here, Prasad said Prime Minister Modi created SIT on black money in the very first Cabinet meeting.

The government re-negotiated double taxation treaties with Mauritius and Cyprus, and bankruptcy code was brought in. also entered into an agreement with the US under FATCA.

"Then, provision under Income Tax was made to disclose black money and pay penalty, then voluntary disclosure income scheme was brought, then benami transaction rule was brought in. The decision of putting Rs 500 and Rs 1000 out of legal tender was last of these," Prasad said.

He said that country's economy has 12-13 per cent cash component out of which Rs 500 and Rs 1000 account for 86 per cent.

"Now this country is moving towards honesty and transparency let it move in that direction. Now it is our duty to bring out of corruption taint," Prasad said.

The minister further said due to economic reforms government has saved Rs 36,000 crore by digitalising economic activities such as payment of subsidies and MGNREGA wages through direct cash benefit facilities on to the accounts of intended beneficiaries through Aadhaar.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

RECOMMENDED FOR YOU

Rs 500/1000 scrapped on recommendations of RBI: Prasad

Law and IT Minister Ravi Shankar Prasad today said the decision to scrap Rs 500/1000 notes was taken by the government on the recommendation of the Reserve Bank of India. "It is not demonetisation. It is a wrong expression. Our government has only taken decision upon recommendation of Reserve bank of India who is authority to take decisions that notes of Rs 500 and Rs 1000 will not be a legal tender. It is not demonetisation in classical economic sense," he said. Government scrapped acceptance of old Rs 500 and Rs 1000 notes from November 9 onward but allowed their payment for some essential services in limited manner. Listing out steps taken by the NDA government to deal with menace of unaccounted money at an event of PHD Chamber of Commerce and Industry here, Prasad said Prime Minister Narendra Modi created SIT on black money in the very first Cabinet meeting. The government re-negotiated double taxation treaties with Mauritius and Cyprus, and bankruptcy code was ... and IT Minister today said the decision to scrap Rs 500/1000 notes was taken by the government on the recommendation of the Reserve Bank of India.

"It is not demonetisation. It is a wrong expression. Our government has only taken decision upon recommendation of Reserve who is authority to take decisions that notes of Rs 500 and Rs 1000 will not be a legal tender. It is not in classical economic sense," he said.

Government scrapped acceptance of old Rs 500 and Rs 1000 notes from November 9 onward but allowed their payment for some essential services in limited manner.

Listing out steps taken by the government to deal with menace of unaccounted money at an event of PHD Chamber of Commerce and Industry here, Prasad said Prime Minister Modi created SIT on black money in the very first Cabinet meeting.

The government re-negotiated double taxation treaties with Mauritius and Cyprus, and bankruptcy code was brought in. also entered into an agreement with the US under FATCA.

"Then, provision under Income Tax was made to disclose black money and pay penalty, then voluntary disclosure income scheme was brought, then benami transaction rule was brought in. The decision of putting Rs 500 and Rs 1000 out of legal tender was last of these," Prasad said.

He said that country's economy has 12-13 per cent cash component out of which Rs 500 and Rs 1000 account for 86 per cent.

"Now this country is moving towards honesty and transparency let it move in that direction. Now it is our duty to bring out of corruption taint," Prasad said.

The minister further said due to economic reforms government has saved Rs 36,000 crore by digitalising economic activities such as payment of subsidies and MGNREGA wages through direct cash benefit facilities on to the accounts of intended beneficiaries through Aadhaar.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22

Rs 500/1000 scrapped on recommendations of RBI: Prasad

and IT Minister today said the decision to scrap Rs 500/1000 notes was taken by the government on the recommendation of the Reserve Bank of India.

"It is not demonetisation. It is a wrong expression. Our government has only taken decision upon recommendation of Reserve who is authority to take decisions that notes of Rs 500 and Rs 1000 will not be a legal tender. It is not in classical economic sense," he said.

Government scrapped acceptance of old Rs 500 and Rs 1000 notes from November 9 onward but allowed their payment for some essential services in limited manner.

Listing out steps taken by the government to deal with menace of unaccounted money at an event of PHD Chamber of Commerce and Industry here, Prasad said Prime Minister Modi created SIT on black money in the very first Cabinet meeting.

The government re-negotiated double taxation treaties with Mauritius and Cyprus, and bankruptcy code was brought in. also entered into an agreement with the US under FATCA.

"Then, provision under Income Tax was made to disclose black money and pay penalty, then voluntary disclosure income scheme was brought, then benami transaction rule was brought in. The decision of putting Rs 500 and Rs 1000 out of legal tender was last of these," Prasad said.

He said that country's economy has 12-13 per cent cash component out of which Rs 500 and Rs 1000 account for 86 per cent.

"Now this country is moving towards honesty and transparency let it move in that direction. Now it is our duty to bring out of corruption taint," Prasad said.

The minister further said due to economic reforms government has saved Rs 36,000 crore by digitalising economic activities such as payment of subsidies and MGNREGA wages through direct cash benefit facilities on to the accounts of intended beneficiaries through Aadhaar.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

image
Business Standard
177 22

Upgrade To Premium Services

Welcome User

Business Standard is happy to inform you of the launch of "Business Standard Premium Services"

As a premium subscriber you get an across device unfettered access to a range of services which include:

  • Access Exclusive content - articles, features & opinion pieces
  • Weekly Industry/Genre specific newsletters - Choose multiple industries/genres
  • Access to 17 plus years of content archives
  • Set Stock price alerts for your portfolio and watch list and get them delivered to your e-mail box
  • End of day news alerts on 5 companies (via email)
  • NEW: Get seamless access to WSJ.com at a great price. No additional sign-up required.
 

Premium Services

In Partnership with

 

Dear Guest,

 

Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.

Enjoy Reading!
Team Business Standard