New Delhi, Nov 24, 2016: Authorities extends Rs 500 use until Dec 15, stops over-the-counter exchange. The government on Thursday prolonged the final date to be used of the denotified Rs 500 notes until December 15, and stopped the over-the-counter change of money with fast impact.
Authorities extends Rs 500 use until Dec 15, stops over-the-counter exchange.
Based on the Ministry of Finance, Rs 1,000 notes would now not be allowed for use for the checklist of exemptions the government had introduced. These notes can, nevertheless, be deposited in financial institution accounts.
“It has been noticed that over-the-counter change of the previous currency notes of Rs 500 and Rs 1,000 denomination has proven a declining pattern. It has additional been felt that individuals could also be inspired and facilitated to deposit their outdated Rs 500 and Rs 1,000 notes of their financial institution accounts,” the Ministry mentioned in an announcement as Authorities extends Rs 500 use until Dec 15, stops over-the-counter exchange.
“It will encourage people who find themselves nonetheless unbanked to open new bank accounts. Consequently, there can be no over-the-counter alternate of outdated Rs 500 and Rs 1,000 notes after midnight of November 24,” it added.
Initially, the government had permitted the alternate of denotified Rs 500 and Rs 1,000 notes as much as a restrict of Rs four,000, which was elevated to Rs four,500 5 days later, solely to be slashed to Rs 2,000 on November 17. In keeping with the RBI, the scheme to alternate notes was legitimate until December 30 when Authorities extends Rs 500 use until Dec 15, stops over-the-counter exchange.
The government had earlier permitted varied exemptions for sure transactions and actions whereby fee could possibly be made by way of the previous Rs 500 and Rs 1,000 notes.
“It has been determined that each one these exemptions, with the additions and modifications, could also be continued for an additional interval as much as December 15,” it mentioned.
The government demonetised Rs 1,000 and Rs 500 notes on November eight however supplied quite a few exemptions the place they could possibly be used until November 24 as Authorities extends Rs 500 use until Dec 15, stops over-the-counter exchange.
The assertion on Thursday additionally expanded the exemptions to incorporate cost of charges as much as Rs 2,000 per pupil in central and state authorities schools in addition to central authorities, state authorities, municipality and native physique colleges.
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