ET Financial Inclusion Summit: For a digital India, rules should aim at desired outcomes

ET Financial Inclusion Summit: For a digital India, rules should aim at desired outcomes

Due to the Covid-19 pandemic and periods of forced self-isolation, digital payments have become the default option for a significant portion of the population.

According to Nikhil Sahni, Mastercard’s division president for South Asia,

The number and value of paper-based instruments such as checks have decreased in the last financial year, while retail digital payments lead by UPI-based transactions have improved.

“In terms of digital payments, internet access, smartphone ownership, and provision for Jan Dhan accounts, which the prime minister himself envisioned, have all been milestones in the right direction.

Paper instruments such as checks saw a 35 percent drop in volume and a 28 percent drop in value in the previous fiscal year. At the same time, retail digital payments increased by 16 percent, with UPI-based payments doubling.

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“Spending on digital infrastructure by the government at a time when private consumption is fundamentally declining would promote economic development and have a multiplier effect, making economic activity considerably more efficient and environmentally sustainable.

To make payments across devices without fear of fraud.

The government must establish a regulatory framework that allows for platform interoperability, allowing people and businesses to make payments across devices without fear of fraud.

Regulations should aim for desirable outcomes regardless of who delivers them, and establish circumstances for competition and collaboration where necessary. We need data protection regulations that encourage ethical behavior while not penalizing individuals or gamers to the detriment of the entire community,” he stated.

GST’s Applicability to the Reverse Charge Mechanism for Service Imports

After offering digital payments to 1 billion people between 2014 and 2020, Mastercard wants to convert 1 billion people and businesses around the world in the next four years.

“Our commitment to financial inclusion is part of a larger social commitment…

Mastercard is excited to work with the government and other stakeholders to make India truly digital,” says the company.

Latest Tax Update

Latest Updates

1. CBDT notifies Rule 8AC for STCG, WDV computation u/s 50 involving goodwill depreciation.

2. Central Board of Direct Taxes has extended the time for processing refunds in non-scrutiny cases for the assessment year 2017-18 up to September 30.

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3. Recovery Order of ITC due to mismatch in Form GSTR-3B and GSTR-2A stayed

The Hon’ble Chhattisgarh High Court, in the case of Bharat Aluminium Company Ltd vs. Union of India Ors. [WPT No. 94 of 2021 decided on June 24, 2021] has granted a stay on Recovery Order passed by the Revenue Department, denying Input Tax Credit (“ITC”) to the Company due to mismatch in two return forms i.e. Form GSTR-2A and Form GSTR-3B, on a condition of deposit of 5% of the demand by the Company.

15CA/CB – Manual Filing Extended till July 15th

4. The Certificate of Tax Deducted at Source in Form No.16, required to be furnished to the employee by 15th June 2021 may be furnished on or before 31st July 2021.

15CA/CB – Manual Filing Extended till July 15th

15CA/CB – Manual Filing Extended till July 15th

CBDT extends the date for manual filing of tax forms for foreign remittance

File Pic The Central Board of Direct Taxes, CBDT has granted further relaxation in the electronic filing of Income Tax Forms 15CA and 15CB and extended the date of filing from 30th June to 15th July 2021.

The taxpayers can now submit these forms in manual format to the authorized dealers by the 15th of this month. The CBDT in a statement said that authorized dealers are advised to accept such forms for the purpose of foreign remittances.

Higher TDS rates for Non-filers of Income-tax 

A facility will be provided on the new e-filing portal to upload these forms at a later date for the purpose of generation of the Document Identification Number. As per the Income-tax Act, 1961, there is a requirement to furnish forms 15CA and 15CB electronically.

Presently, taxpayers upload the Form 15CA, along with the Chartered Accountant Certificate in Form 15CB, wherever applicable, on the e-filing portal, before submitting the copy to the authorized dealer for any foreign remittance.

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