Cheque Deposit Rules Changed from RBI from 1st January 2021. The bank deposit rule for cheques changed due to the high number of banking fraud reported in recent years. Now RBI has introduced Positive Payment System for cheque payment for more than Rs 50,000. RBI claimed that his is a full proof system and it will reduce the banking and financial fraud in India. The industry experts are happy with this new system from RBI. They believe that this system will reduce financial crime in India.
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The Positive Payment System is an automated platform which will reduce banking fraud. This system will put an authentication process for the cheques validation from the issuing person. Issued cheque will not get processed until issuing person will authenticate the cheque details. SMS, mobile app, Internet banking or ATM will be used to authenticate the validity of cheque from the account holder. If any deviation found during the validation then check payment will put on hold. This new rule will be applicable for all cheque payment above Rs 50,000.
Apart from Cheque Deposit Rules GST and Term insurance also get some change
Government has also made some change in GST return for small taxpayers from 1st January 2021. Now small taxpayers will be allowed to file quarterly GST returns Although they have to pay taxes on monthly basis. This scheme will be applicable for taxpayers who’s annual return is less than 5 crore in the last financial year. This scheme looks very good for the small businessman. They can focus more on their business instead for circle around the tax consultants every month. Hope this will benefit both government and small businessman in coming years.
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The government has also applied the rule to reduce the life insurance premium from 1st January 2021. This scheme will be applicable for standard term plan from insurance companies in India. Indian insurance regulator IRDA had directed the insurance companies to introduce a standard term life insurance plans. This will be a big relief for the people interested to buy a standard Tem Plans from Insurance companies. The insurance companies also forced to reduce the premium for their plans due to this policy change.
Oil companies will regulate the LPG Cylinder prices from 1st January 2021
Apart from Cheque Deposit Rules few more changers introduced from 1st January 2021. Now Oil companies will be independent for the LPG cylinder pricing in India. Government of India and petroleum ministry will not interfere in the LPG prices in India. The oil companies are free to regulate the LPG cylinder prices in India. Let me tell you that LPG Cylinder prices have increased by Rs. 100 in the month of December. Now oil companies expected to increase the prices further in the month of January 2021.
These are the good initiative from the government of India apart from LPG price regulation handover to oil companies. Now they have to regulate it and keep increasing prices every day like diesel and petrol. This will have a direct impact on the common man. We personally not in favour to handover petroleum products price regulation to oil companies. Rather government has to think of regulating the price of these products and bring them into GST.
