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Just 2 days left to spend your old 500 notes in the market!

Updated on: 09 Aug, 2023 11:37 AM

The government has clarified that Old 500 rupee notes will not be accepted anywhere except Banks from Friday, i.e. 16th December 2016.

All exemptions announced to ease the cash crunch for citizens will end at midnight on Thursday after which the only option would be to deposit them till 30th December 2016.

Until 15th December 2016, specified old Rs 500 notes can be used as under:-

  • for making payments in Government hospitals for medical treatment and pharmacies in Government hospitals for buying medicines with doctor’s prescription;
  • for purchases at consumer cooperative stores operated under authorisation of Central or State Governments and the customers shall provide their identity proof; However, the purchase from Consumer Cooperative Stores will be limited to ? 5000 at a time;
  • for purchase at milk booths operating under authorisation of the Central or State Governments;
  • for payments at crematoria and burial grounds;
  • for making payments in all pharmacies on production of doctor's prescription and proof of identity;
  • for payments on purchases LPG gas cylinders;
  • for making payments for purchase of entry tickets for any monument maintained by the Archaeological Survey of India.
  • for making payments towards any fees, charges, taxes or penalties, payable to the Central or State Governments including Municipal and local bodies;
  • for making payments towards utility charges for water and electricity only. -which shall be restricted to individuals or households for payment of only arrears or current charges. No advance payments shall be allowed
  • for payments towards court fees
  • for making payments towards purchase of seeds from the centres, units or outlets belonging to the Central or State Governments, Public Sector Undertakings, National or State Seeds Corporations, Central or State Agricultural Universities and the Indian Council of Agricultural Research, on production of proof of identity: Provided that for the purposes of this clause, specified bank notes shall mean bank notes of the denominational value of five hundred rupees
  • Payment of School fees up to ? 2000 per student in Central Government, State Government, Municipality and local body schools;
  • Payment of fees in Central or State Government colleges;
  • Payments towards pre- paid mobile top-up to a limit of ? 500 per top-up
  • Toll payment at these toll plazas of the Ministry of Road Transport and Highways may be made through old ? 500 notes from 3.12.2016 to 15.12.2016 (as they have continued the toll free arrangement up to 2.12.2016)
CA Abhishek Soni
CA Abhishek Soni

Abhishek Soni is a Chartered Accountant by profession & entrepreneur by passion. He is the co-founder & CEO of Tax2win is amongst the top 25 emerging startups of Asia and authorized ERI by the Income Tax Department. In the past, he worked in EY and comes with wide industry experience from telecom, retail to manufacturing to entertainment where he has handled various national and international assignments.