Source: News Bharati English29 Nov 2016 16:28:03
New Delhi, November 29: The Government post announcing the demonetization drive has laid increased emphasis on promoting digital payments. To further reduce the cost of Point of Sale devices in order to encourage digital payments, the Government has exempted Point of Sale devices from Central Excise Duty.
Point of Sale (POS) devices are used for cashless transactions, both for making payments or disbursing cash. POS do not attract any basic customs duty.
These exemptions will be valid till 31st March 2017. A notice on 28th November, 2016 regarding exemption of POS devices from Central Excise Duty has also been issued.
Consequently, these devices will also be exempted from Additional Duty of Customs (both CVD & SAD). Simultaneously, to encourage domestic manufacturers of such devices, all goods required for the manufacture of POS devices have also been exempted from excise duty, and consequently from CVD and SAD.
The Centre had banned notes of Rs. 500 and Rs. 1000 on 8th November as a measure to curb black money. While this created many problems among the common people, Prime Minister came up with an idea of using mobile banking and cashless transaction as a secure and easy measure for monetary transactions. During 26th edition of Mann Ki Baat on Sunday, PM appealed the countrymen to incorporate cashless transactions for giving and receiving money and teach other people regarding knowledge about the same.