HDFC Bank Credit Card rules change next month: New charges, 3rd party transaction impact, all the details
Utility transactions will see a bifurcated fee structure. While transactions below ₹50,000 remain unaffected, those exceeding this amount will be subject to a 1% fee, also capped at ₹3,000 per transaction. Key Points
Business TodayCheck your inbox: Income Tax Dept alerting taxpayers on major transactions made during FY 2023-24
The Income Tax Department has initiated an e-campaign to notify taxpayers whose taxes paid during the current fiscal year do not match their financial transactions. Through emails and SMSs marked as Advance Tax e-Campaign-Significant transactions for AY 2024-25, taxpayers are urged to accurately calculate and deposit their advance tax by March 15. Key Points
Economic TimesTaxman sending mails in cases of advance tax, transactions mismatch
The income tax department is reaching out to assesses whose advance tax payments don't match their financial transactions, urging them to correctly calculate and pay their advance tax by March 15. This initiative aims to ensure tax compliance and enhance taxpayer services. The department uses data from the Annual Information Statement to identify discrepancies and inform taxpayers. Taxpayers can log in to their e-filing accounts to view details of significant transactions and comply with tax regulations. Key Points
Economic TimesIncome Tax dept to launch e-campaign for Advance Tax for FY 2023-24
The Income Tax Department receives information of specified financial transactions of taxpayers from various sources. To increase transparency and to promote voluntary tax compliance, this information is reflected in the Annual Information Statement (AIS) module and is available to the persons/entities for viewing. Key Points
Economic TimesCBDT starts sending emails, SMSs to assessees for mismatch in tax profile, fin transactions in FY24
The Income Tax Department has initiated an e-campaign to notify taxpayers whose taxes paid during the current fiscal year do not match their financial transactions. Through emails and SMSs marked as Advance Tax e-Campaign-Significant transactions for AY 2024-25, taxpayers are urged to accurately calculate and deposit their advance tax by March 15. Key Points
Economic Times
CBDT amends safe harbour norms for intra-group loans
CBDT, India's top direct taxes authority, has introduced new safe-harbour provisions, eliminating the requirement for intra-group loans to be denominated in Indian rupees for tax calculations. The amended definition excludes credit lines or loans without fixed repayment terms. Key Points
Economic TimesRBI raises automatic payment limit via UPI to Rs 1 lakh
UPI emerges preferred mode of payment for a large section of population with over 11.23 billion transactions recorded in November. The Reserve Bank of India on Tu Key Points
The Tribune IndiaPhonePe's hold over UPI tightens with 50% share
India Business News: PhonePe, the Walmart-owned fintech, has captured nearly 50% of the market share in UPI transactions in terms of value. It now accounts for 47.2% of UP Key Points
Times Of IndiaUPI crosses 10 billion monthly transactions, confirms NPCI
India's digital payments framework, Unified Payments Interface (UPI), surpassed 10 billion monthly transactions in August, with a transaction value of INR15.18tn ($204.77bn) Key Points
mint10 lesser-known transactions you can do at an ATM
Here 10 lesser-known transactions you can do at an ATM. Note that banks do charge for non-financial transactions above the set free limit. Key Points
Economic Times
India, UAE sign MoUs for promoting local currencies in cross-border trade
The Reserve Bank of India and the Central Bank of UAE (CBUAE) have signed two Memorandum of Understanding (MoU) to boost local currency use for cross-border transactions and to link their payment and messaging systems. A Local Currency Settlement System (LCSS) is aimed to be put in place to develop an INR-AED forex market. India's UPI and UAE's IPP will be linked to facilitate fast, convenient, safe, and cost-effective cross-border funds transfers. Key Points
Economic TimesAim to increase e-rupee transactions to 10 lakh per day by 2023-end: RBI DG T Rabi Sankar
RBI deputy governor T Rabi Sankar pointed out that transactions through CBDCs bypass intermediaries and are instantaneous. In its aim to increase the acceptability of the CBDC, the RBI will take build on the existing network of the Unified Payment Interface and introduce interoperability for CBDC transactions, Sankar said. Key Points
Economic TimesIVF clinics, luxury retailers set to face harsher income tax scrutiny
India's Central Board of Direct Taxes (CBDT) has intensified its scrutiny of transactions at IVF clinics, NRI college admissions, luxury goods shops, hotels and banquets, due to evidence of large cash transactions at these places. A rule requiring the reporting of transactions of more than INR200,000 ($2,788) has reportedly been widely ignored, while large amounts of cash transactions remain undocumented. Key Points
Economic TimesUPI to account for 90% of retail digital transactions in next 5 years, says RBI bulletin
UPI hit record 9 billion transactions in May this year. The total value of UPI transactions for May touched ₹14.3 trillion. Key Points
mintLens on transactions in Manipur: FIU probing payments above Rs 20 lakh in last six months to ascertain if
The Financial Intelligence Unit (FIU) is investigating high-value transactions in Manipur over the past six months to uncover links with the recent ethnic violence, according to unnamed sources. All transactions over INR 2m ($26,800) from 1 Jan to date are under scrutiny. Approximately 150 suspicious accounts, including those belonging to local politicians and some charities, have been identified across Manipur, Mizoram and Nagaland. Key Points
Economic Times
Explained | Daily limit on UPI transactions
As transactions facilitated by the Unified Payments Interface (UPI) breach record highs, banks have opted for daily limits. These are over and above the already imposed ceilings mandated by the facilitator, the National Payments Corporation of India (NPCI), in 2021. The idea is to sustain the smoother functioning of the payments interface as it continues to acquire popularity. Key Points
The HinduUPI: Peer-to-merchant transactions see 110% YoY growth in May 2023; value increased by 60% to Rs 3.44 lakh cr
Credit and finance for MSMEs: P2M transactions had a 57.03 per cent share in total UPI volume in May compared to the 42.97 per cent share of P2P transactions in May. Key Points
FinancialexpressRelated-party deals: Auditor of Adani Ports flags concerns
India Business News: As a result, it has issued a "qualified opinion" on the FY23 results. A qualified opinion means an audit report is not clean. In other words, an audit Key Points
Times Of IndiaGovernment tightens rules on global credit card transactions by Indian travellers abroad, LRS comes into p
The Indian government has ended a key relaxation on the use of international credit cards (ICCs) by residents touring abroad. Such transactions would now be included in the computation of the limit of $2,50,000 under the liberalized remittance scheme (LRS) per person per year, beyond which the central bank's approval would be required. This change comes into effect immediately. Key Points
Economic TimesUPI volume, value rise to record highs in April
FASTag transactions in April rose 15% y-o-y to 305 million in April. In terms of value, it 22% y-o-y to Rs 5,149 crore. Key Points
Financialexpress
Aadhaar authentication transactions rise to 2.31 billion in March
The numbers in March were higher than in February when 2.26 billion authentication transactions were carried out. Key Points
FinancialexpressSuspects transfer ₹35 lakh by breaching payment gateway of private firm
Unidentified suspects breached a payment gateway to transfer INR 35 lakh ($48,000) from the bank account of a private firm involved in car parking automation solutions and car cleaning accessories. The money was transferred into different bank accounts using at least five UPI addresses, with 35 transactions made valued at INR 1 lakh each. None of the suspects have been traced, with police saying it is unclear whether someone hacked into the firm's dashboard or an employee was involved. An FIR has been filed against unidentified suspects under Section 420 of the Indian Penal Code. Key Points
Hindustan TimesInterchange fee of 1.1% on UPI transactions above ₹2,000 may be similar to IMPS charges
NCPI's interoperability guidelines make PPI wallets more appealing to customers. The move is likely to eliminate the need for carrying multiple cards on the customers' front and that as result would minimize the danger of fraud and theft owing to the exposure of card numbers. Key Points
mintUPI transactions up 60% in March to record 8.7 bn
Transactions on the Unified Payments Interface (UPI) platform rose 60% year-on-year (y-o-y) in March to a record 8.7 billion, data from National Payments Corporation of India (NPCI) showed. Key Points
FinancialexpressUPI crosses 10 billion transactions for the first time in August
Drumroll please! UPI has just shattered records with an astonishing 10 billion plus transactions. Join us in celebrating this incredible milestone and the power of digital payments. Let's keep the momentum going and continue to revolutionize the way we make transactions with UPI!. NPCI, which run the payment system, said on social media platform 'X', formerly known as Twitter. Key Points
Economic Times
Young Indians' online purchases pay off for credit card companies
Credit card transactions jumped 30% to ₹1.7 lakh crore in January, with ecommerce and bill payments driving the surge. The younger generation's online purchases, benefitting from schemes like BNPL and EMIs, defied regulatory restrictions. Key Points
Economic TimesRBI cracks down on illegal forex trading
There would be far more scrutiny by banks on account holders making forex transactions on non-authorised platforms, including apps, said one of the officials who didn't want to be named. The regulator wants lenders to further ensure that Know Your Customers (KYC) norms for all parties in such transactions are strictly followed. Key Points
Economic TimesIndia’s banks are making $64 billion from a freebie
India saw over 10 billion cashless transactions in August, with most of them being online and cost-free. However, customers using mobile-phone wallets to pay bills over 2,000 rupees are subject to a 1.1% fee. Despite concerns about the lack of profit motive, India's payment revenue reached $64bn last year, making it the fourth highest globally. Key Points
Economic TimesRs 2000 note withdrawal will not affect common man: Ex-CEA Krishnamurthy Subramanian
Former Chief Economic Advisor Krishnamurthy Subramanian believes that the Reserve Bank of India's withdrawal of the Rs 2,000 note will not affect the common man of the society. The former CEA claims that the cash in circulation of the 2000 notes is only 10% and that most common people opt for digital transactions. Digital money is being used in every part of the country, making things easier for everyone involved, he said. According to a report from BCG, digital transactions worth up to $3tn are expected by 2026. Key Points
Economic TimesPM Modi hails UPI as India, Singapore link online payment systems
India and Singapore on Tuesday linked their online payment systems, which will enable instant, and cost-effective cross-border funds transfers. Prime Minister Narendra Modi said the large number of transactions via UPI demonstrate that the indigenously designed payment system is very secure. Key Points
India Today
Govt removes TCS on credit card payments abroad, 20% tax on other foreign transactions effective 1 Oct
According to May notification, credit card payments abroad would've attracted 20% tax collected at source. New rate on other foreign transactions to apply only if it exceeds Rs 7 lakh, says govt. Key Points
ThePrintJPMorgan to use blockchain to settle US dollar forex trades in India hub
Under the existing settlement system, it could take a few hours for the settlement to complete. Moreover, transactions are not settled on Saturdays and Sundays or public holidays. The real-time blockchain-backed system will remove this hindrance to make it available round-the-clock. Key Points
Economic Times1.1% fee on UPI transactions above Rs 2,000, but who pays that?
NPCI said in its circular that Peer-2-Peer (P2P) and Peer-2-Merchant (P2M) transactions between a bank account and a PPI will not require an interchange fee. Read to know who pays the interchange fee recommended by NPCI. Key Points
India TodayGovt proposes exempting certain M&A deals from Competition Comm approval requirement
Draft rules to exempt certain categories of combinations from the Competition Commission of India (CCI) approval requirement have been issued by the corporate affairs ministry. Vaibhav Choukse, Partner & Head - Competition Law at JSA Advocates & Solicitors, said the draft rules enlist certain kinds of M&A (Merger & Acquisition) transactions which will not require approval from the CCI. Key Points
Economic TimesPayments regulator proposes cap on Mastercard, Visa cross-border fees
Britain's payments regulator on Wednesday provisionally proposed a cap on cross-border interchange fees charged by Mastercard (MA.N) and Visa (V.N) on transactions made between the UK and European single market. Key Points
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US reviews record number of foreign investment transactions in 2022
A U.S. government committee on foreign investments reviewed a record number of proposed transactions in 2022, the Treasury Department said Monday. Key Points
Reuterstransactions between 2 govt firms exempt from prior nod requirements by audit committee for RPTs, says Seb
The Securities and Exchange Board of India (Sebi) has clarified that transactions between two state-run companies do not need prior approval from the audit committee and shareholders for related-party transactions. The clarification followed after NTPC sought guidance about related party transactions under the Listing Obligations and Disclosure Requirements (LODR) rules. NTPC asked if the audit committee must approve transactions between it and PTC India and Energy Efficiency Services, where government of India nominee directors are appointed. Sebi said government nominees are on the boards of PTC and EESL, but neither are government companies, so the RPT exemptions do not apply. Key Points
Economic Times1.1% fee on UPI wallet transactions above Rs 2,000, but who pays that?
NPCI said in its circular that Peer-2-Peer (P2P) and Peer-2-Merchant (P2M) transactions between a bank account and a PPI will not require an interchange fee. Read to know who pays the interchange fee recommended by NPCI. Key Points
India TodayRBI asks banks to keep branches open till March 31 for annual closing
The Reserve Bank of India (RBI) on Tuesday directed banks to keep their branches open till working hours of March 31, 2023, a press release stated. With the financial year 2022-23 ending, the annual closing of accounts is scheduled for March 31. Key Points
Economic TimesHindenburg-Adani probe: SEBI asks SC for more time
Markets regulator SEBI has asked the Supreme Court for more time for its investigation into the allegations levelled by US-based short-seller Hindenburg on billionaire Gautam Adani's conglomerate. Earlier On March 2, the Supreme Court set up an expert committee amid the controversy arising out of a report by US short-seller Hindenburg Research on the Adani Group. It directed SEBI to investigate whether there has been a violation of Section 19 of SEBI rules and any manipulation of stock prices. Key Points
Economic Times
Amazon leases over 6 lakh sq ft of office space in Bengaluru
The deal follows two large transactions Amazon recently signed, acquiring more than 800,000 square feet of space in Gurgaon and Hyderabad for web services, development centres, seller services, and transportation services. The transaction comes as a breather for commercial real estate, with many corporations slowing down large transactions due to global uncertainties. Key Points
Economic TimesUCO Bank glitch: Dos and don'ts for banks and customers
Banks must provide customers with facilities of a website, phone banking, SMS, email, IVR and a dedicated toll-free helpline for reporting unauthorised transactions as well as loss/theft of payment instruments such as cards. They should also be given the facility to report these to the home branch. Key Points
Economic TimesInterchange on UPI transactions via PPIs — what it means?
The National Payments Corporation of India (NPCI) has introduced interchange fees of up to 1.1 per cent on merchant UPI transactions done using prepaid payment instruments from April 1. Key Points
The HinduIncome Tax dept is calculating your advance tax liability by tracking these financial transactions: Here's
The Income Tax Department said, The Income Tax Department receives information of specified financial transactions of taxpayers from various sources. This information is reflected in the Annual Information Statement (AIS) module and is available to the persons/entities for viewing. The value of ‘Significant transactions in the AIS has been used for carrying out this analysis. Read here to know what are these 'specified financial transactions'. Key Points
Economic TimesNo OTP authentication for UPI auto payments up to Rs 1 lakh for these three transactions
The Reserve Bank of India (RBI) has hiked the transaction limit for UPI auto payment limits requiring OTP -based authentication to Rs 1 lakh from Rs 15,000 currently. As per the announcement, new limit will apply on mutual fund subscriptions, insurance premium and credit card repayments. Read on to know the new rules. Key Points
Economic Times
Pushing e-rupee payments using UPI infra on RBI's agenda
The RBI had launched the e-rupee for retail transactions on a pilot basis on December 1, 2022. As of June, about 13 lakh users have downloaded the CBDC wallet and around 3 lakh merchants are accepting CBDC payments. Key Points
Economic TimesUPI to account for 90% of retail transactions in 5 years: RBI bulletin
Currency in circulation decelerated to 5.3% in June from 8.3% a year ago, owing to withdrawal of Rs 2,000 banknotes Key Points
FinancialexpressSupreme Court defers hearing in Adani-Hindenburg case to July 10
In the meanwhile, SEBI told the top court that it was not investigating the Adani Group since 2016 as claimed. The probe pertained to the issuance of Global Depository Receipts (GDRs) by 51 Indian firms and no listed company of the Adani Group was among them, it said. Key Points
Economic TimesAadhaar fraud alert: How banks use new methods to protect your money from scammers
Aadhaar enabled payment systems (AePS) transaction fraud can be done if the fraudster has got access to the bank customer's fingerprint/IRIS impression/data, their Aadhaar number and name of the bank where the account is maintained. In order to stay protected from this kind of fraud an individual must take certain steps. Further banks also help in prevention of such a fraud. Key Points
Economic TimesNo, UPI payment will not be charged extra because NPCI 1.1 per cent fee has a fine detail you need to know
The NPCI has recommended an interchange fee on UPI transactions of over Rs 2,000 made through Prepaid Payment Instruments (PPIs). What does this mean for general users? Are UPI transactions no longer free? We answer all questions. Key Points
India Today
TDS at 1% pushing crypto investors to grey market: Will Budget 2024 reconsider it?
TDS rate on crypto: in Budget 2022, the government brought out rules on how capital gains from different virtual digital assets such as crypto, NFTs will be taxed. Along with this, the government also imposed TDS on buying and selling of crypto. However, the TDS rate is pushing investors to buy and sell it via off market transactions. Key Points
Economic Times