News Govt proposes tax benefits for credit and debit card payments

[Deepu]

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.

Govt proposes tax benefits for credit and debit card payments

 

[Technoglitch]

Welcome move for electronic transactions for above 1 lakhs but taxes for credit and debit, not so welcome.

 

[scorpionking76]

This is indeed welcome move but I have a concern on the thieves installing machines to duplicate the cards and not sure if they steal our passwords as well. Then there is a threat

 

[Technoglitch]

Phishing and card cloning are serious factors, even in atm centres these guys insert the machine and camera above the keypads to get the pin

 

[Sanjeev]

Phishing and card cloning are serious factors, even in atm centres these guys insert the machine and camera above the keypads to get the pin

Many such incident have happened in the past

 

[IndianMascot]

I think govt should make all credit and debit card transactions tax free to encourage this. Let reply our views to them before 29th June.

 

[scorpionking76]

Yes I think we should be responding to them with a note to implement this ASAP