RBI Cracking Down on P2P Credit Card Transactions (Rent)

[dealminer]

Using a loophole is not fraud. For example, paying rent to one's spouse is not allowed. If the house were owned by my father, and had paying rent to my mother, that would be a fraud. Over invoicing and under invoicing is fraud.In this case, even if the IT department scrutinizes, I expect to prevail.
And not sure where I "hid my trail" - mom's pan number is clearly mentioned. Even TDS is done, and taxes are paid.

By this logic, those who use HUF provisions would be fraudsters as well.

But thanks for derailing the thread.

Is it possible to send money to parents and stating it as the rent?
Even if I don't stay with them?
Possible to save some tax there?

 

[Tejo]

So the rent payment party too will soon come to an end. RBI is tightening the screws on the credit card business and especially on VISA/MasterCard from all ends.

RBI cracking down on P2P credit card transactions

RBI cracking down on P2P credit card transactions

www.thehindubusinessline.com

Not just p2p

RBI making certain instructions that only certain merchants can opt for card txns. Already asked merchant service providers to figure out which category merchants are eligible to opt for card payments.

 

[Tejo]

Is it possible to send money to parents and stating it as the rent?
Even if I don't stay with them?
Possible to save some tax there?

Yeah of course, for below 10k need last 3 months statement and for above 10k need agreement.......RG

 

[Vasuki]

Noted.
This will be followed 🫡

Thats OG advice of any tax filer who want to claim deduction

 

[deep@vie]

Yeah of course, for below 10k need last 3 months statement and for above 10k need agreement.......RG

Only if you're not claiming rent benefits already from somewhere else

 

[dealminer]

Thats OG advice of any tax filer who want to claim deduction

indeed . 🫡

 

[deep@vie]

indeed . 🫡

Only for novices,others already know as this is the most popular & easiest to implement.

 

[dealminer]

Only if you're not claiming rent benefits already from somewhere else

one person can rent 2 places, right? so tax benefits from all?

 

[deep@vie]

one person can rent 2 places, right? so tax benefits from all?

Any number of,but it has to be in his ITR

 

[BhaiyaJi]

Education fees / tution fees to vaise bhi scam tha. Kal ko ye log monthly maid, cook payment bhi nikal lete 🤣

 

[BhaiyaJi]

rbi should even allow emis to be paid via ccs

Why only EMIs? They should allow credit card payment also 🤣

 

[panchabhut]

That itself is tax fraud.

Earning children are separate family units. So nothing wrong with paying rent if they are staying with their parents.

 

[sxchzy]

Why only EMIs? They should allow credit card payment also 🤣

they do
there is something called as balance transfer which is chargeable

 

[sm9811911]

That itself is tax fraud.

Kuch bhi. .

 

[sm9811911]

So the rent payment party too will soon come to an end. RBI is tightening the screws on the credit card business and especially on VISA/MasterCard from all ends.

RBI cracking down on P2P credit card transactions

RBI cracking down on P2P credit card transactions

www.thehindubusinessline.com

They can’t control inflation which is their primary job. They are controlling common man using credit card for Rs.20,000 liquidity and Rs400 rewards.

 

[BhaiyaJi]

They can’t control inflation which is their primary job. They are controlling common man using credit card for Rs.20,000 liquidity and Rs400 rewards.

Maybe by reducing card to bank they want to reduce no cost liquidity and credit card debt.

 

[Vasuki]

They can’t control inflation which is their primary job. They are controlling common man using credit card for Rs.20,000 liquidity and Rs400 rewards.

Inflation is controlled 4-6% mostly .
Since policy came


But they fuckn killed crypto currency hype with cbdc & no one uses them

 

[Vasuki]

Maybe by reducing card to bank they want to reduce no cost liquidity and credit card debt.

Users are increasing ..
India is 100 billion dollar short in giving loans to msme .. ( 100 billion dollar loan should have been distributed but it isnt)
Now dry credit fund ..( i don't think so )
Are we going privatization or
Economic emergency


Post banking scam scandal in 2017 .. banks are green now & should lend more but in effective way to avoid crisis again

 

[catcat]

They can’t control inflation which is their primary job. They are controlling common man using credit card for Rs.20,000 liquidity and Rs400 rewards.

Not defending them, but stability of banking system is also RBI's responsibility. Allowing rent payments on CC leads to deferment of rent payment, which probably leads to higher discretionary consumption, but also increases indebtedness of households (not everybody is a points hunter - there are people who are hard up and could be using rent by CC for that purpose)

 

[rogerthat]

Not defending them, but stability of banking system is also RBI's responsibility. Allowing rent payments on CC leads to deferment of rent payment, which probably leads to higher discretionary consumption, but also increases indebtedness of households (not everybody is a points hunter - there are people who are hard up and could be using rent by CC for that purpose)

I don't think RBI or Govt is bothered about indebtness of households. In fact it is the other way around. The policy seems to be to discourage saving and to encourage spending everything we get and some more. And that too via UPI, in that way all bank account get emptied seamlessly and the money stays circulating in the system.