Pre 2005 Old Currency Notes can be exchange at RBI Offices

The Reserve Bank of India has observed that a major portion of the pre-2005 banknotes have been withdrawn from circulation and only a small percentage of these notes remains in circulation. On a review, therefore, the Reserve Bank has decided that from July 01, 2016 the facility of exchanging the pre-2005 banknotes will be available only at the following offices of the Reserve Bank of India:

Ahmedabad, Bengaluru, Belapur, Bhopal, Bhubaneswar, Chandigarh, Chennai, Guwahati, Hyderabad, Jaipur, Jammu, Kanpur, Kolkata, Lucknow, Mumbai, Nagpur, New Delhi, Patna, Thiruvananthapuram and Kochi.

The Reserve Bank of India had, in December 2015, set June 30, 2016 as the last date for public to exchange pre-2005 banknotes at the identified bank branches and Issue Offices of the Reserve Bank of India.

The Reserve Bank has also clarified that these pre-2005 banknotes will continue to remain legal tender.

The Reserve Bank of India has stated that it is a standard international practice not to have currency notes from multiple series remaining in circulation at the same time.

Soliciting cooperation from members of the public in withdrawing these banknotes from circulation, the Reserve Bank of India has urged them to exchange pre-2005 banknotes at the above mentioned offices of the Reserve Bank of India, as per their convenience. The Reserve Bank of India will continue to monitor and review the process so that the public is not inconvenienced in any manner.

PPF | SUKANYA SAMRIDDHI | TAX SAVING SCHMES | KISAN VIKAS PATRA RATE OF INTEREST

If you are not happy about fixed deposits rate currently offered by Banks, then you can save in following small saving schemes  offered by Government of India. 

Rates are further reduced w.e.f 1 APRIL 2016, including popular scheme such as 5 year senior citizen scheme from 9.3% to 8.6% and PPF public provident fund reduced from 8.7% to 8.1% to discourage people to save money in these tax saving instruments to ensure flow of money in the economy as these funds have 5 years lock in period.

Small Saving Scheme Rate of Interest

“Canara Vidya Jyothi” Scheme, to provide school scholarship to meritorious SC/ST girl students by CANARA BANK

Scholarship to meritorious SC/ST girl students in Government schools

“Canara Vidya Jyothi” scheme is introduced to provide scholarship to meritorious SC/ST girl students in Government schools of rural areas covered under command area of our rural, semi urban & urban branches. With the splendid success of the scheme for the past 3 years in serving the good cause of promoting education among girl students belonging to SC/ST families.

I.Objective of the Scheme:

To encourage education among girl children belonging to SC/ST communities by extending financial support.

Scheme Details:

A. Eligibility Criteria:

1.One Girl Student from each of the class from 5th Standard to 10th Standard

2.Students studying in Government/Government aided School within the command area of the Branch

3.Students from SC/ST family

4.Should be the highest scorer in the immediate preceding class Annual examination among SC/ST girl students in the class.

B. Amount of Assistance:

1.Rs 2500 per student of class 5TH to class 7TH

2.Rs 5000 per student of class 8TH to class 10TH

Time to Submit 15 G and 15 H for Fixed Deposits Customers in Banks

Financial Year is ending and time has started to file your returns but also take care to submit 15 G and 15 H to banks to avoid taxes on your fixed deposits in the month of April.

What is 15 G and 15 H

This is declaration that you are earning below tax exemption limit i.e. Rs. 2,50,000 in case of men and women below age of 60 years and that means you are noticing bank not to deduct tax on fixed deposits.

Following are the limits or rules regarding 15 H & 15 G

1. Below age of 60 years for both men and women - Submit 15 G who earns below Rs. 2,50,000

2. From 60 Upto 80 Years - Submit 15 H who earns Upto Rs. 3,00,000

3. 80 Years and above - Submit 15 H who earns upto Rs. 5,00,000


If you are earning beyond limits mentioned above please do not submit these tax exemption forms other wise you can be in serious trouble and may even face jail sentence depending upon rules of tax authorities which you have broken.

PRADHAN MANTRI VIDYA LAKSHMI KARYAKRAM ( PMVLK) : VIDYA LAKSHMI PORTAL FOR EDUCATION LOAN

SINGLE PORTAL FOR EDUCATION LOAN IN INDIA

Govt. of India has set-up a fully IT based Student Financial Aid Authority to administer and monitor Scholarship as well as Educational Loan Schemes, through the Pradhan Mantri Vidya Lakshmi Karyakram (PMVLK) to ensure that no student misses out on higher education for lack of funds. The launch of the aforesaid Portal is a first step towards achieving this objective.

The IT based mechanism under the Pradhan Mantri Vidya Lakshmi Karyakram is meant to provide students a single window electronic platform for Scholarships and Educational Loans.

Vidya Lakshmi is a first of its kind portal for students seeking Education Loan. This portal has been developed under the guidance of Department of Financial Services, (Ministry of Finance), Department of Higher Education (Ministry of Human Resource Development) and Indian Banks Association (IBA).The portal has been developed and being maintained by NSDL e-Governance Infrastructure Limited. Students can view, apply and track the education loan applications to banks anytime, anywhere by accessing the portal. The portal also provides linkages to National Scholarship Portal.

The Vidya Lakshmi portal has been made live on 15.08.2015. The students can apply online for Education Loan to any Bank, in the application format designed by IBA through the subject portal i.e. www.vidyalakshmi.co.in. The Bank to which the application is directed by the NSDL portal has to download the same from their web site through the interface software and forward to concerned branches for logical closure of the application.

The salient features of the Vidya Lakshmi portal are as under:

Primary objective is to provide students with easier access to loans and Govt. scholarships through a single portal.

The portal serves as a single entry point for availing education loan in the Country.

The portal provides linkage to various Govt. scholarship portals.

The portal has provision for common Education loan application loan form for all banks.

The portal facilitates all member banks to access applications made by students through common loan application forms.

New procedure for obtention of 15G and 15H | Income Tax New Rule

Banks are obtaining Form15G/15H in triplicate from the eligible persons and submit one copy to the Income Tax authorities every month after retaining a copy for branch records.

The following is the new procedure for obtention of 15G and 15H.

1.The formats of Form 15G/15H are modified. The new formats are available at banks. The new modified forms are to be obtained with effect from 1st October 2015.

2.Declaration by person claiming receipt of certain incomes without deduction of tax can submit in the New forms 15G/15H in any of the following manners:

In paper form

Electronically after duly verifying through an electronic process in accordance with the procedures, formats and standards.

National Pension System (NPS) as an investment option for NRIs

RESERVE BANK OF INDIA HAS PERMITTED NON-RESIDENT INDIANS (NRIs) TO SUBSCRIBE TO THE NATIONAL PENSION SYSTEM GOVERNED AND ADMINISTERED BY THE PENSION FUND REGULATORY AND DEVELOPMENT AUTHORITY (PFRDA).

As per extant FEMA provisions NRIs are not allowed to subscribe to National Pension Scheme (NPS). However, with a view to enable NRI’s access to old age income security, RBI , in consultation with the Government of India has enabled National Pension System (NPS) as an investment option for NRIs under FEMA 1999, vide their A P (DIR Series) Circular No. 24 dated 29.10.2015. Accordingly, NRIs may subscribe to the NPS governed and administered by the Pension Fund Regulatory and Development Authority (PFRDA), provided such subscriptions are made through normal banking channels and the person is eligible to invest as per the provisions of the PFRDA Act.

The subscription amounts shall be paid by the NRIs either by inward remittance through normal banking channels or out of funds held in their NRE/FCNR/NRO account. There shall be no restriction on repatriation of the annuity/ accumulated savings.

Banks are advised to take note of the above and bring the same to the notice of their constituents and customers concerned.