Cess on digital transactions wont be good
I am hearing murmurs that the Govt is looking at introducing cess on digital transactions and this will be beyond the transaction fee that banks, service providers and others in the chain extract from us.
As it is no one has reduced Merchant Discount Rate or MDR which in many cases hits the customer because the merchant refuses discount if paying digitally. On top of that a digital cess to supposedly provide cyber security will only hit consumer for worse.
I request consumer affairs dept and local circles to plug themselves in this dialogue at ministry of finance and it and ensure consumer issues are taken into account. more
As it is no one has reduced Merchant Discount Rate or MDR which in many cases hits the customer because the merchant refuses discount if paying digitally. On top of that a digital cess to supposedly provide cyber security will only hit consumer for worse.
I request consumer affairs dept and local circles to plug themselves in this dialogue at ministry of finance and it and ensure consumer issues are taken into account. more
Viewed by 618
View all 8 comments Below 8 comments
Making anybody to pay any kind of charge/surcharge/cess etc. sequel to e-payments are downright illogical, since no man-power, stationery(ies), additional office space is required for any kind of e-payment. Annual Maintenance Charge towards ATM-cum-Debit Card is also likewise illogical. Customers are making self-services for all the processes involved towards all kinds of e-payments. On the other hand there should be incentives to the payer as also payee, since (1) it reduces pressure (i.e. costs) on currency notes printing, accounting for distribution, withdrawal of soiled notes, their accounting for destruction etc. (2) printing of currency notes requires high quality papers - primary source of which is trees - thus causing environmental degradation, etc. Special importance to the Indian context is that currency notes are the easiest modes for creating/storing illicit money and their deployment for illicit purposes. more
Oct 19
Encouragement is required for digital transaction, but if government is planning cess to increase revenue, it will be really foolishness. The present government has already burdened the public with so much of taxes, without any relief in price rise. It will boomerang on the government. more
Oct 17
Who told to go for digital payment? There is no concern. We shall try to avoid the digital payment as much as possible. It is not at all a concerned. Talk and work is separate thing, we shall follow accordingly. However, if all notes are withdrawn from the markets and only digital payment is the only option, then we have to pay. This situation is not at prevail at present. more
Oct 17
Then there must be no limit on cash withdrawal that banks are imposing and arms are full of 500 and 2000 notes only. more
Oct 18
I will oppose any cess on digital payments but I would advocate to remove charges levied by bank on credit card payments received by the merchants. more
Oct 17
Why so much concerned? Decide yourself that you will abstain from digital transaction and will return to old cash & only cash. Earth will not fall. more
Oct 17
