PRADHAN MANTRI GARIB KALYAN YOJANA, 2016
(a scheme brought by Taxation Laws (Second Amendment) Bill, 2016)
After nearly 20 days of announcing his big scheme of Demonetization, the Government came up with another scheme known as Pradhan Mantri Garib Kalyan Yojana, this time to curb on the running practice of converting the money out of the current banking systems. No matter how much the Government deny it but there was trading of old money with new money in the black markets, which costs anyway around 30% – 40% to the company. What the Government has done by bringing this amendment act is to make sure that the people who are converting their money out of the black market to do it using the proper banking channels. Whether it will be a success is still a result for future to decide. The Government has made it compulsory to deposit 25% of the Undisclosed income in a Deposit Scheme to be notified by the RBI under the “Pradhan Mantri Garib Kalyan Yojana Deposit Scheme, 2016”. The amount is proposed to be utilized for the schemes of irrigation, housing, toilets, infrastructure, primary education, primary health, livelihood, etc., for the purpose of bringing justice and equality in the second most unequal country of the World. Now let us take a view into the Pradhan Mantri Garib Kalyan Yojana Deposit scheme launched by the government, an overview of the amendment proposed in the bill are: