Another big step to promote electronic payment in India by the government. To promote digital payments in the country. Electronic Payment is mandatory for business establishments with Rs 50 crore turnover. They have to provide an electronic mode of payment to their customers from 1st November. The Finance Ministry gave this information on Friday. There will be no charge or merchant discount rate (MDR) from the customers or merchants.
In her budget speech, Finance Minister Nirmala Sitharaman had said that. The business establishments with Rs 50 crore turnover should offer digital payment. The low-cost payment to their customers and bear the cost of transactions to RBI and banks. needed.
New electronic payment provisions will come into effect from November 2019
After this, the Income Tax Act as well as the Payment and Settlement Systems Act 2007 amended. The CBDT has said in a circular that the new provisions will come into effect from November 1, 2019.
CBDT has also invited applications from banks and payment systems providers. Those who are keen that their payment systems can be used by the government for this purpose.
If your online transaction fails due to any reason bank has to pay Rs 100 daily
If your online transaction fails due to any reason and you do not get the money back within a day. The payment gateway or bank will ay Rs. 100 per day. RBI has issued a circular stating that banks and digital wallets will have to pay a penalty of Rs 100 per day. This will continue until the customer gets the money back within a day if the transaction fails.
The new rules will apply to UPI, IMPS, e-wallets, card to card payment, NACH etc,. RBI stated this by issuing circulars to all operators and authorized payment systems.
A new policy implemented after consultation with the stakeholders: RBI
After consultation with the stakeholders, the timeframe and the fine have fixed. This step will increase the confidence of the customers. At the same time, there will be uniformity in the process for unsuccessful transactions.
