Union Cabinet Has Approved Incentivize Cashless Transactions [ Current Affairs ]

()

For introduction of steps for promotion of cashless payments (transactions) through cards and digital means union cabinets has given its approval. Many short and medium term procedures have been approved by union government department Ministries and Organizations for implementation of these cashless transactions.

This approved proposal includes:

  • Steps for removal of surcharge, service charge, convenience fee on digital payments or card which is currently carry out by various Government organizations.
  • Introduction of appropriate receipt infrastructure for cashless payments in Government organizations.
  • In order to promote mobile banking, validate the merchant discount rate (MDR) on telecom service charges and card transactions for digital financial transactions.
  • The main aim behind this is to reducing cash transactions to minimize tax avoidance and migration of Government payments and collections to cashless mode.
  • And Union Government has kept its promise for such measures as announced in the 2015 Budget for one way to curb the flow of black money is to discourage cash transactions, with this decision.

- Published on: February 26, 2016