No counter exchange of old Rs 500, Rs 1000 notes from tomorrow; Only Rs 500 notes valid for exemptions

No counter exchange of old Rs 500, Rs 1000 notes from tomorrow; Only Rs 500 notes valid for exemptions

NEW DELHI: Central Government has decided that there will be no over the counter exchange of old Rs. 500 and Rs. 1000 notes after midnight of Nov 24, Finance Ministry said today.

“The Central Government has been reviewing the issues related to the cancellation of legal tender character of old Rs. 500 and Rs. 1000 notes. The Government has also been receiving various suggestions in this regard,” the ministry said in a statement.

The following decisions relating to certain operational aspects of the Scheme have now been taken:

There will be no over the counter exchange of old Rs. 500 and Rs. 1000 notes after midnight of 24.11.2016.

Various exemptions that the government permitted for certain transactions will be continued till Dec 15, with the additions and modifications as detailed below:

(a) Payments for the transactions under all the exempted categories will now be accepted only through old Rs. 500 notes;

(b) Payment of School fees up to Rs. 2000 per student in Central Government, State Government, Municipality and local body schools;

(c) Payment of fees in Central or State Government colleges;

(d) Payments towards pre paid mobile top-up to a limit of Rs. 500 per top-up;

(e) Purchase from Consumer Cooperative Stores will be limited to Rs. 5000 at a time;

(f) Payment of current and arrears dues to utilities will be limited to only water and electricity. This facility will continue to be available only for individuals and households;

(g) Considering that the Ministry of Road Transport and Highways have continued the toll free arrangement at the toll plazas up to 2.12.2016, it has been decided that toll payment at these toll plazas may be made through old Rs. 500 notes from 3.12.2016 to 15.12.2016.

(h) Foreign citizens will be permitted to exchange foreign currency up to Rs. 5000 per week. Necessary entry to this effect will be made in their passports. (Necessary instructions in this regard will be issued by the RBI.)