Critical part of remonetisation already behind us: Jaitley

The net increase in the income tax so far has been to the extent of 14.4 percent

GN Bureau | December 29, 2016


#Remonetisation   #Demonetisation   #Arun Jaitley   #Cashless Economy   #Cashless  


“Assessment can be unreal but revenue is real. And therefore many of these indicate that now with the critical part of the remonetisation already behind us, and there being significant impact in large number of these areas, it should certainly be much better in the weeks and months to come than it was in last six weeks,” finance minister Arun Jaitley said on Thursday.

“Of course there would be areas which would be adversely impacted, but what was predicted by the critics has to have rationale with the revenue collection,” he told the media.

Jaitley said that the remonetisation process has substantially advanced and what is significant is not a single incident of any form of unrest has been reported in the country.

“The RBI has very large amounts of currency available and it will continue to support the market to the extent that the market needs that kind of liquidity. Amongst the currency which was in circulation on November 8, a very large part has already been replaced and would continue to be replaced to the extent that market requires that currency. More and more notes of Rs 500 are also being released through the banking and post offices and therefore we can see a lot of currency coming into recirculation which is enabling the banking system and the ATMs to further augument the supply itself,” he added.

The minister said that already a large part of benefits of this historic move are visible. A lot more money has come into the banking system. Cash has an anonymity attached to it. What comes into the banking system gets identified with the person and therefore its impact on taxation and revenue collection is already being seen.

“The ability of the banks to lend has now increased. The revenue figures itself are more significant. We have till December 19, the direct tax figures of income tax which are now available and the net increase in the income tax so far has been to the extent of 14.4 percent and if one factors in very large quantum of refunds because these days refunds are also made immediately, the net increase is 13.6 percent till 19th of December.”

Jaitley said that the indirect tax figures are also available and there is a significant increase in indirect taxation. In the central indirect taxes, the increase is 26.2 percent till November 30. And this includes excise duties increasing by 43.5 percent, service tax increasing by 25.7 percent and customs duties by 5.6 percent.

Also read: Are we ready to go cashless?

Comments

 

Other News

BEL stake sale gets overwhelming response

 State-run aerospace and defence company Bharat Electronics (BEL), a Navratna enterprise, on the first day of its stake sale by the government aimed to raise Rs 1,650 crore received an overwhelming response. Besides, quota of non-retail investors was subscribed by over 2.34 times. The govern

Suppress ego to write biography: Ramachandra Guha

Noted historian Ramachandra Guha has listed reasons on why historical biographies never took off in a big way in India. Delivering the annual lecture at Sahitya Akademi’s Festival of Letters in New Delhi on Thursday, Guha said that historical biography is that part of history which is more

AAI unveils e-billing solution for navigation service providers, air operators

 State-run Airports Authority of India, a miniratna PSU, in association with international air transport association (IATA) has unveiled a comprehensive e-billing solution—SKYREV360 to help air navigation service provider (ANSP) and airport operators. The system would help the users to

A golden touch

I dreaded a bit as I stepped inside the Thrissur district general hospital in Kerala. I have walked in and out of government hospitals almost half of my life as a health and science writer for various newspapers. But I was never the patient. Going to a government hospital carried with it&nbs

Should students` unions be banned?

Should students` unions be banned?

Take action, NSUI tells police over varsity clash

The National Students Union of India (NSUI) on Thursday sought action against those who had assaulted students and teachers of Delhi university at a protest march on Wednesday.` “Our sole motive is to compel the police to take some strict actions against the lawbreakers who brutally manhand

Video

Digital Transformation Summit

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter