The interest rate on SBI’s special FD scheme for senior citizens will be 80 basis points (bps) higher than the general public rate. SBI currently offers a 5.4 percent interest rate on five-year fixed deposits to the general public. But, under the special FD scheme senior citizens will get an interest rate of 6.20 percent respectively.
Tenure
ROI in % for amount less than Rs 2 Cr
7 days to 45 days
3.4
46 days to 179 days
4.4
180 days to 210 days
4.9
211 days to less than 1 year
4.9
1 year to less than 2 year
5.5
2 years to less than 3 years
5.6
3 years to less than 5 years
5.8
5 years and up to 10 years
6.2
SBI FD Rates For Non-Senior Citizens
General customers will receive 2.9 percent to 5.4 percent deposits maturing between 7 days to 10 years. Senior citizens can get an additional 50 basis points (bps) on these deposits. The latest SBI FD rates are in effect from January 2021.
Tenure
ROI in % for amount less than Rs 2 Cr
7 days to 45 days
2.9
46 days to 179 days
3.9
180 days to 210 days
4.4
211 days to less than 1 year
4.4
1 year to less than 2 year
5.0
2 years to less than 3 years
5.1
3 years to less than 5 years
5.3
5 years and up to 10 years
5.4
Note
If you have an SBI account, you can open an e-fixed deposit with a single click on the online banking portal of SBI. Customers of SBI can select from a variety of FD options to open the one that better reflects their requirements. SBI allows you to open a ‘e-TDR/e-STDR (FD)’ with an initial deposit of Rs 1,000 only. Click here to know how to open an SBI fixed deposit account online.
The Public Provident Fund provides an exempt-exempt-exempt (EEE) tax benefit, which ensures that interest gained, investment and withdrawal is completely tax-free. When it comes to bank deposits, the interest received is taxable. As a result, if you are in the highest tax bracket, you are likely to pay a significant amount of tax. PPF delivers other tax advantages under Section 80C of the Income Tax Act, in addition to tax-free interest income. This implies that an annual investment of Rs 1.5 lakhs applies for tax advantages. The PPF’s only drawback is that it has a 15-year term, making it a long-term investment.
Higher interest rates among other tax-saving investments
The Employees’ Provident Fund (EPF) presently has the highest interest rate among government-backed fixed income schemes which is capped at 8.5% for the financial year 2020-21. Interest received/accrued from an employee’s provident fund (EPF) is tax-free under current tax laws. Interest earned on EPF contributions (only employee contributions) above Rs 2.5 lakh per year is now arranged to be taxed. The PPF, on the other side, is a type of investment in which even self-employed individuals can participate. The existing PPF interest rate is 7.1 percent (for the quarter ending March 31, 2021), which is much better than the most small savings schemes such as the National Savings Certificate with an interest rate of 6.8%, 5-Year Post Office Time Deposit with an interest rate between 5.5% to 6.7% and 5-Year Tax-Saving FDs of leading banks such as SBI, Axis, HDFC, ICICI which is now fixed at between 5.35% to 5.5%. Compared to fixed deposits of banks, where the interest rate is fixed for the period of the investment, the PPF interest rate is floating and will alter every quarter by the government. From the 5th to the last day of each month, interest on PPF is paid on the lowest balance in the account. As a result, it’s essential that you contribute to your PPF on or before 5th of each and every month.
Annual compounding power
PPF interest is compounded yearly, which means that the interest earned on your previous year’s PPF corpus will be added to your principal amount, thus enabling you to earn interest in the current year. If you invest Rs 1 lakh per year in a PPF, for instance, you would generate a corpus about Rs 27.12 lakh in 15 years if the interest rate stays at 7.1 percent. If you extend it for another 5 years, the total amount becomes around Rs 44.38 lakh. A PPF account has a 15-year maturity period. You can either withdraw the entire amount and close the account when it reaches maturity, or you can extend it for another five years with or without additional contributions. In an extended account with contributions, one withdrawal is allowed per fiscal year, up to a cap of 60% of the balance credit upon maturity in a 5-year block. Follow the below table to know in brief about the power of compounding.
A smart tax-saving bet for risk-averse investors
PPF is one of the better alternatives if you are a risk-averse investor seeking for tax-savings as well as a guaranteed return and the stability of your holding. Since many leading banks are currently offering low interest rates on 5-year tax-saving FDs, the interest rate provided on PPF emerges with a strong rate and is also backed by the government, enhancing its level of safety. This makes PPF a smart bet for aggressive investors who consider diversifying their portfolio by keeping some of their holding in debt instruments. But on the hand, while the Deposit Insurance and Credit Guarantee Corporation limits the amount of money you can invest in a bank FD to Rs 5 lakh, the interest you earn on your FDs is not tax-free.
Partial withdrawal and loan option
PPF also offers loan and partial withdrawal advantages, which would help you meet some of your emergency needs. Between the third and sixth financial years after opening a PPF account, account holders can apply for a loan. The highest loan amount from a PPF account is 25% of the overall amount accrued in his PPF account by the end of the second financial year preceding the year in which the loan is requested. If the loan is repaid within 36 months of the date it was taken, a 1% annual interest rate would apply. If the loan is reimbursed after 36 months, the interest rate would be 6% per year from the date of disbursement. The PPF account also comes with a tax-free partial withdrawal option towards the end of the sixth financial year or the beginning of the seventh financial year. The upper limit for partial withdrawal is limited to 50% of the balance at the end of the fourth fiscal year preceding the year in which the withdrawal is made, or 50% of the account balance at the end of the previous fiscal year, whichever is lower.
Should you invest in PPF?
One of the most popular investment options for building a long-term retirement fund is the Public Provident Fund (PPF). Minimal risk, assured returns, and additional tax benefits are just a few of the important considerations that make PPF an appealing investment choice. Though PPF offers a higher rate of guaranteed returns than bank fixed deposits (FDs) at 7.1 percent, the additional tax advantages provided by PPF, pertaining to a deposit cap of Rs 1.5 lakh, make it appear to be a good bet than other types of investments. PPF deposits are also government-guaranteed, making them safer than other financial instruments such as FDs, ELSS and NPS. When it comes to investing in a PPF, it all relates to the investor’s risk tolerance and the investment period. PPF was designed with the goal of ensuring a robust retirement corpus for the investor so that he can live comfortably in his later years. It is extremely beneficial for someone who is completely averse to risk and has a long-term investment goal. Moreover, since PPF has a long maturity period, it may present difficulties in terms of short-term liquidity. That being said, the government has made it possible to close a PPF account early in the event of an emergency or for educational purposes. Furthermore, the 1.5 lakh investment cap appears to be a significant stumbling block for a wealthy player. As a result, an investor who is ready to welcome moderate risk in exchange for respectable returns, no limit on investment there are a variety of investment options available, including ELSS, NPS, mutual funds, and so on. In the context of short-term liquidity considerations in the event of an emergency, ELSS may be a good bet. ELSS funds have historically outperformed PPF funds in terms of returns. However, since it is an equity fund, the investments are vulnerable to market risk. By summing up, PPF is better tailored for the long-term investor who is risk averse by existence and favors the safety and wellbeing of his or her investments over returns.
When an assessee files a tax return, the Income Tax Department examines it and issues assessment intimations, scrutiny notices, and other notices. This is true even though the assessee fails to file his income tax return. For the taxpayer, receiving a tax notice from the Income Tax Department is a key crisis. However, this is not a time to be horrified; in this case, the taxpayer must correct the error for which he received the department’s notice. A taxpayer may receive a Department of Revenue Return Notice for one of the following ten reasons:
Inadequate Information Regarding LTCG from Equity
TDS Claimed Mismatching Form 26A
For Hiding Actual Income
Not Reporting Assets Acquired in the Name of the Spouse
For Filing an Improper Return
If You Have Done Huge Transactions
How to check if there is an Income-tax notice issued?
Here is a quick stepwise method to find out if you have received an Income-tax notice of intimation:
Step 1: Login / Signup on https://portal.incometaxindiaefiling.gov.in
Step 2: Go to “My Account” from the top menu
Step 3: Select “View e-Filed Returns/Forms” from the drop-down.
Step 4: Click on “Ack. No.” for the concerned Assessment Year.
Step 5: If you have any of the following messages your return is subject to correction.
Under the Income-tax Act of 1961, the Income-tax Department issued notices for various reasons. The following are some of them:
Notice under Section 142(1)- Inquiry before the assessment
In two cases, the assessing officer issues a notice under section 142 (1). To begin, the officer may request additional information and documents related to your tax returns. Second, if the officer requests that the return be filed even though it has not yet been filed. If you do not respond to Section 142(1) notice, you will face a fine of INR 10,000, a year in prison, or both if you do not respond.
The primary goal is to learn more about the assessee before assessing the Act. It could be linked to the ‘Preliminary Investigation’ phase of the assessment.
Notice Under Section 143(1)- Intimation Letter
The tax department processes your ITRs online after you file and checks them. The tax department sends an intimation to all taxpayers u/s 143 following this initial assessment (1). It includes information about an additional tax liability or refund, as well as whether the loss amount stated in the return should be increased or reduced, and whether the return has been filed correctly.
Notice Under Section 143(2)- Scrutiny Notice
If the AO thinks you have filed a faulty income tax return, he will notify you under this section. Missing information, using the incorrect ITR form, submitting an incomplete return, and so on are all examples of errors.
The officer would also point out the flaw in the income tax return and suggest a solution. You have a 15-day window to respond to the notice. Your ITR will be denied if you do not respond.
The purpose of this notice is to inform the assessee that his or her tax return has been chosen for scrutiny. It’s worth noting that the section under which it’ll be examined differs from the one under which the notice was issued.
Notice under Section 148 – Income escaping assessment
When the assessing officer (AO) has reason to believe that a taxpayer has filed his ITR on a lower income or has not filed when required by law, this notice is sent. The amount and nature of income escaped determine the time limit for sending the notice under this section.
The assessing officer has the authority to evaluate or reassess your income in these cases, depending on the facts of the case. The assessing officer should serve a notice to the assessee requesting his return of income before making such an assessment or reassessment.
Notice under Section 156 – Notice of Demand
A notice under Section 156 will be issued if the taxpayer is required to pay any type of demand to the income tax department, such as a penalty, fine, tax, or any other amount. The taxpayer must pay the due amount within 30 days of receiving the notice, which is also known as a notice of demand. This notice can be served at any time.
If the assessee fails to pay the tax on time, he or she will be considered in default and will be subject to simple interest at 1% per month or part thereof, as well as a penalty under section 221(1).
Notice Under Section 245
The assessing officer (AO) will issue this notice under section 245 of the Income Tax Act if it is suspected that you have not paid taxes in the previous fiscal year (FY) where you had a tax liability and the tax refund from the current FY can be used to pay off the tax liability. If you do not respond within 30 days, the AO will assume that you consent to the AO adjusting your tax refund to account for past tax liabilities and issuing your refunds after such adjustments.
Notice under Section 139- Defective Return
If the AO thinks you have filed a faulty income tax return, he will notify you under this section. Missing information, using the incorrect ITR form, submitting an incomplete return, and so on are all examples of errors. The officer would also point out the flaw in the income tax return and suggest a solution. You have a 15-day window to respond to the notice. Your ITR will be denied if you do not respond.
For investment related articles, business news and mutual fund advise
According to a new government rule, Aadhaar is no longer necessary for pensioners to obtain the digital life certificate, Jeevan Pramaan, that is mandatory to receive their pensions. Under the Aadhaar Authentication for Good Governance (Social Welfare, Innovation, Knowledge) Rules, 2020, the government has made Aadhaar authentication optional for its instant messaging solution ‘Sandes’ and attendance management at government offices. “For Jeevan Pramaan, Aadhaar Authentication is voluntary, and user organisations must provide alternative methods of submitting Life Certificate. The provisions of the Aadhaar Act 2016, the Aadhaar Regulation 2016, and the O.Ms (official memo), circulars, and directives issued by UIDAI from time to time shall be followed by NIC”, according to a notification released by the Ministry of Electronics and Information Technology on March 18.
The Digital Life Certificate for Pensioners scheme was implemented to tackle the problems that retirees encountered, such as having to appear in front of a pension disbursing agency or requiring to have a life certificate issued by an authority where they had previously served and submitted to the disbursing agency. The digital life certificate prevented retirees to physically go to the appropriate organisation. That being said, many retirees have lamented about difficulties in receiving pensions due to the non-availability of Aadhaar cards or the un-authenticable fingerprints. Although some government bodies offered an alternative method of releasing pensions in 2018, a directive to make Aadhaar mandatory for the digital life certificate has now been launched. Concurrently, the Electronics and IT Ministry has declared Aadhaar voluntary for users of the National Informatics Centre’s instant messaging solution, Sandes. “In Sandes, Aadhaar authentication is voluntary, and user organisations must provide alternative methods of authentication.
The rules of the Aadhaar Act 2016, the Aadhaar Regulation 2016, and the O.Ms, circulars, and guidelines released by UIDAI from time to time must be followed by NIC “According to a separate memorandum issued on March 18. The app is used within government agencies and was developed under the name Government Instant Messaging System. More than 150 institutions, including Niti Aayog, MeitY, CBI, MEA, Indian Railways, Indian Navy, Indian Army, National Security Council Secretariat (NSCS), Intelligence Bureau, Border Security Force, Central Reserve Police Force, Department of Telecom, Home Ministry, and others, have finished proof of concept for the application. Sandes will also be accessible to the general public, according to the authorities. Another announcement on March 18 made Aadhaar verification voluntary for biometrics attendance systems used in government offices. The notification stated that “Aadhaar Authentication in AEBAS is on a voluntary basis, and user organisations shall provide alternative methods of presence.”
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With effect from March 18, IDBI Bank has updated its fixed deposit (FD) interest rates. Customers can choose from a variety of FD schemes offered by the bank. Following the most recent amendment, IDBI Bank’s FD interest rates extend from 2.9 to 5.1 per cent for FDs maturing in 7 days to 20 years. For senior citizens, IDBI Bank provides a special interest rate on fixed deposits. The current IDBI Bank senior citizen FD rates range from 3.4 per cent to 5.6 per cent. IDBI Bank provides 2.9 per cent interest on deposits maturing in 7 to 14 days and 15 to 30 days. 3 per cent interest for 31 to 45 days, 3.25 per cent interest for 46 to 90 days, and 3.6 per cent interest for 91 to 6 months. IDBI Bank will provide 5.1 per cent on deposits maturing in one year to ten years. The bank will also offer 4.8 per cent on 10- to 20-year FDs. Term deposits for a 5-year maturity period will provide 5.1 per cent interest. Check the latest modified FD rates (less than Rs 2 Cr) of IDBI Bank with effect from 18 March 2021.
Tenure
ROI in % for non-senior citizens
ROI in % for senior citizens
07-14 days
2.9
3.4
15-30 days
2.9
3.4
31-45 days
3
3.5
46- 60 days
3.25
3.75
61-90 days
3.25
3.75
91-6 months
3.6
4.1
6 months 1 day to 270 days
4.3
4.8
271 days up to< 1 year
4.3
4.8
1 year
5
5.5
> 1 year – 2 years
5.1
5.6
>2 years to < 3 years
5.1
5.6
3 years to < 5years
5.1
5.6
5 years
5.1
5.6
> 5 years – 7 years
5.1
5.6
>7 years – 10 years
5.1
5.6
>10 years – 20 years
4.8
5.3
Source: Official website of the bank
Note
With effect from March 18, private sector lender Axis Bank also amended interest rates on fixed deposits (FDs). Axis Bank provides FDs with terms extending from seven days to ten years. For the same period, Axis Bank is now offering non-senior citizens an interest rate between 2.5 per cent to 5.75 per cent and senior citizens an interest rate between 2.5 per cent to 6.5 per cent. Click here to know more.
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The Atal Pension Yojana is a Government of India scheme that was initiated on May 9, 2015, and started operating on June 1, 2015. It is extended to all Indian residents aged 18 to 40 who have a bank or post office savings account. When the subscribers reach the age of 60, they will be eligible for the scheme’s privileges. The scheme offers five pension plan slabs: Rs 1000, Rs 2000, Rs 3000, Rs 4000, and Rs 5000, all of which are backed by the government of India at the age of 60. The Government of India guarantees the same pension to the subscriber’s spouse in the event of his or her death. In the instance that both the subscriber and the spouse die, the whole pension corpus is provided to the nominee. If total returns during the accumulation phase exceed the estimated returns for the minimum assured pension, the difference will be handed to the subscribers. Shri Anurag Singh Thakur, Union Minister of State for Finance & Corporate Affairs, asserted in a written reply to a question in the Lok Sabha yesterday that the government has made a co-contribution amount of Rs 57,078.22 lakh disbursed till February 2021 under the Atal Pension Yojana. According to the Minister, the Central Government co-contributes 50% of the overall contribution or Rs. 1000 per year, whichever is lower, for subscribers who joined the scheme between June 1, 2015 and March 31, 2016, and who are not members of any statutory social security scheme or income taxpayers. The Minister outlined the following steps that the government is taking to improve APY enrollment:
Altering the payment method of the subscriber’s contribution from monthly to monthly, quarterly, and half-yearly, taking into account periodic income earners.
Subscribers can also change the amount of their pension at any time during the fiscal year. This service is available only once per fiscal year.
Official mobile app for APY customers, as well as Value Added Facilities like E-PRAN and E-SOT for online access to PRAN and Statement of Transactions for APY accounts.
PFRDA has accepted an alternative paperless way for onboarding the bank’s existing SB customers under Atal Pension Yojana, without using banks’ net-banking, as a measure towards making APY subscribers onboarding easier.
Around 17 banks have been listed as offering Net-Banking onboarding services. The NSDL has been told to allow customers to sign up for the APY App using these banks’ net banking portals.
The APY app is now also officially available on the UMANG platform (Unified Mobile Application for New-age Governance).
Advertisements in English, Hindi, and regional languages are published on a regular basis in print and electronic media.
Officials from the Pension Fund Regulatory and Development Authority (PFRDA) will interact with bank executives on a regular basis to assess the pace of the APY implementation across the nation.
APY Subscribers have now access to the Grievance Module.
Various training programmes aimed at improving the capacity of bank branch representatives.
For investment related articles, business news and mutual fund advise
A review meeting is scheduled to be held on March 23, wherein Trai will take a call regarding the next course of action. The telecom regulator will also be meeting RBI to assess the situation.
The banking and financial sector’s compliance with regards to following the new blockchain-based technology to check pesky communications is improving. Though the success rate is still not 100% it is increasing every day as telecom operators are sending daily reports regarding the messages, which are failing under the new mechanism, to banks and telemarketers, to make amends. No message is being blocked as of now, even the ones that are not following the desired format.
The Telecom Regulatory Authority of India (Trai) has held several meetings with the Reserve Bank of India (RBI) regarding the matter. It was only when RBI strictly asked banks to follow the latest technology, that banks started to move. Currently, the success rate of sending commercial messages is over 85% under the new mechanism and Trai is likely to continue with the existing scheme of not blocking even the non-compliant communications for some time, as it doesn’t want to inconvenience the customers.
A review meeting is scheduled to be held on March 23, wherein Trai will take a call regarding the next course of action. The telecom regulator will also be meeting RBI to assess the situation.
Earlier, Trai had reached out to financial regulators asking them to nudge players, under their jurisdiction, to comply with the system set up to check pesky messaging. Just a week back, round 30% of the commercial messages from banks and 50% from other financial intermediaries failed to work under the new blockchain-based mechanism put in place to check pesky SMSes.
The decision to not block even non-compliant messages was taken to prevent an outage of SMSes as had happened on March 8 when the new system was enforced. The day had seen around 400 million SMSes not being delivered, including one-time passwords from banks.
As per data from the National Payments Corporation of India, UPI transactions in November grew threefold to 2.2 billion as compared to 0.7 billion in the pre-Covid period.
Fuelled by the kirana shop push from financial technology (fintech) companies and the need for contactless payments during the pandemic, digital wallets have made inroads in the offline retail segment. Digital wallets were the second-most popular in-store payment method in 2020 with a share of 22% after cash payments, which had a 34% market share, according to the 2021 Global Payments Report by Worldpay from FIS.
Debit cards and credit cards had a share of 20% and 12%, respectively. The report projected that digital wallets would overtake cash as the most popular in-store payment method by 2024, accounting for 33% of payments.
“There has been an overall uptick in digital payment transactions and even though initially, the growth was coming from online channels, now offline, too, has taken off,” says Vivek Belgavi, partner and leader – fintech, PwC India. The growth in digital payments in offline stores, Belgavi says, has been led by store digitisation, new acquisition infrastructure like QR codes and instant real-time payment system Unified Payments Interface (UPI).
Initiatives taken by digital wallet companies to tap into the general trade or kirana stores have contributed to the trend. According to Mahendra Nerurkar, CEO, Amazon Pay, the company has so far enabled five million small and medium businesses (SMBs) to accept digital payments through QR code-based payments. It also introduced Amazon Pay Smart Stores last year, which helps small stores digitise their businesses.
Similarly, PhonePe has features like PhonePe Business App and PhonePe Stores for general trade owners. Vivek Lohcheb, VP, offline business development, PhonePe, said the company is on course to expand its offline presence from 17.5 million stores currently to 25 million by December.
As per data from the National Payments Corporation of India, UPI transactions in November grew threefold to 2.2 billion as compared to 0.7 billion in the pre-Covid period. Peer-to-peer accounted for 60% of transactions, while peer-to-merchant, which includes in-store payments, contributed 40%. Google Pay is the top player in the segment, followed by PhonePe and Paytm. Furthermore, in 2020 the volume of transactions through UPI was twice that of digital wallets, according to industry estimates.
Though alternative payment methods such as debit cards and credit cards have been around for some time, they have not made much of a dent due to the high cost of acquisition as well transaction fees. For UPI transactions, however, no charges are levied, and it is easily accessible to merchants through mobile apps and QR codes without any additional device.
Due to their general trade focus, platforms mostly process low-ticket (below `500) and mid-size (`600-`5,000) transactions through UPI. “When buying high-ticket products like smartphones, customers prefer to swipe debit or credit cards,” says Suhail Sameer, group president, BharatPe. The fin-tech platform, which provides a single QR code to merchants for UPI transactions, has seen its average ticket rise to `800 as compared to `300 in the pre-Covid period. BharatPe, has a presence in the top 100 cities and plans to expand in 300 more cities backed by the growth being witnessed in UPI transactions.
As these companies intensify their efforts to tap the offline segment, consumer preferences towards cash might hinder their plans. “A change in mindset will be crucial to realise the full potential of digital payments in the offline channel,” says Sachin Seth, partner – financial advisory services, EY India.
Lack of awareness amongst consumers about security and data privacy will also present a challenge for these companies as they drive digital adoption.
In order to keep the account active every financial year, you must make a minimum investment of Rs500 in your PPF (Public Provident Fund) account. Your account will become dormant if you fail to make the minimum contribution. After you incur the penalty and deposit the minimum deposit amount, the account will become active.
Minimum contribution towards NPS
In the NPS (National Pension System) Tier 1 account, a minimum contribution of Rs 500 is required and towards NPS Tier 2 account the minimum contribution limit is capped at Rs 250. If the minimum contribution is not made, the account becomes dormant. And to reactivate your account you must contribute the minimum required amount. To reactivate an account, the subscriber must visit a point of presence (POP) and deposit the required amount, or contribute via the eNPS portal.
Minimum contribution towards post office RD account
For accounts opened between the first and the fifteenth day of the month, the monthly contribution must be deposited by the fifteenth day of the month, while accounts opened on the sixteenth day and later must deposit the amount only before the end of the month. It becomes default if the amount is not credited in any month. In the event of default, Rs100 must be deposited for each month of default, with a maximum of four defaults permitted. So, if you haven’t yet deposited your RD monthly contribution for the month of March, you have only 9 days left in your hand.
Belated IT Return
If you haven’t already done so, the deadline for filing your income tax return for FY20 is March 31. If you wait until March 31, 2021 to submit your ITR, you will have to pay a penalty of Rs 10,000. The tax department would impose a minimum penalty equal to 50% of the tax that would have been prevented if you had filed your ITR, as well as the responsibility to pay interest until you finally file your ITR after getting warnings from the tax authority.
Vivad se Vishwas scheme
The deadline for filing a declaration under the scheme is March 31. In relation to the subjects covered in the declaration, the taxpayer is given exemption from interest, penalty, and the institution of any proceeding for indictment under the Income Tax Act. If you don’t take advantage of the option you may get a warning from the tax department and pay penalties too for the same.
PAN and Aadhaar Linking
If you don’t link your Permanent Account Number (PAN card) to your Aadhaar card by April 1, it will become obsolete. The central government had previously extended the link between PAN and Aadhaar. Unless the government extends the deadline again, the deadline to link the documents is March 31, 2021. Upon the timeline, all PAN cards that are not linked to Aadhaar will be considered “inoperative”. If your PAN is not linked to your Aadhaar, you will be unable to conduct any financial tasks. If you fail to link the two documents by the timeframe, your PAN becomes inactive, and it is deemed that you have not provided your PAN as legally required, you may be subject to a penalty of Rs 10,000 under Section 272B of the Income Tax Act.
Benchmark indices ended flat with negative bias on March 22 after last hour buying erased all the intraday losses. At close, the Sensex was down 0.17% at 49,771.29, and the Nifty was down 0.05% at 14, 736.40.
IndusInd Bank, ICICI Bank and HDFC Bank were among major losers on the Nifty. Among sectors, Nifty IT, Metal, pharma and FMCG indices added 1% each, while Nifty Bank and PSU Bank index shed a % each. BSE Midcap and Smallcap indices rose 0.7-1%.
The Nifty Bank Index ended negative at 33,605 down by -1.63%. Amongst the top losers were- Induslnd Bank at Rs 968 down by -4.32% followed by ICICI Bank at Rs 573 ending below -2.25%, HDFC Bank at Rs 1,469 (-1.89%), Axis Bank at Rs 716 (-1.38%), SBI at Rs 367 (-1.12%), Kotak Mahindra Bank at Rs 1,882 (-0.63%).
Nifty Financial Services ended below 15,802 down by -1.15%. Amongst the biggest losers were Power Finance at Rs 121 down by -1.66% followed by Bajaj Finance at Rs 5,389(-1.12%), Indiabulls Hsg at Rs 213 (-0.93%), Bajaj Finserv at Rs 9,405 (-0.37%). While all the major indices traded in the red, Chola invest. and HDFC managed to end things on a positive note.
Other key takeaways FPI inflows into equities at record high since FY13: RBI report Foreign portfolio investors have pumped in a record USD 36 billion into equities so far this fiscal up to March 10, which is the highest since FY13, shows the latest data from the Reserve Bank. On the other hand, net foreign direct investment inflows jumped to USD 44 billion, till end January, up from USD 36.3 billion a year ago, driven by the massive inflows in November and December, with the last month of the year getting a record USD 6.3 billion.
Utkarsh SFB concludes private placement of Rs 240.47 crore Utkarsh Small Finance Bank Ltd. has concluded private placement of Rs 240.47 crore to 6 Investors. Bank may undertake a pre-IPO placement of up to Rs 250 crores in consultation with the lead managers to the offer. Kotak Mahindra Capital Company Ltd. acted as financial advisor to the Bank for the concluded private placement round.
The lender’s initial offer comprises a fresh issue of up to ₹750 crore and an offer for sale by Utkarsh Coreinvest Ltd, aggregating up to ₹600 crore. ICICI Securities, IIFL Securities and Kotak Investment Banking will manage the share sale.
Global fund managers warn of stock market correction if yields surge to 2% Bond yields have been inching higher in the last few weeks, rebounding strongly from 0.5% in the middle of last year. If yields continue to push higher and breach the 2% barrier, a 10% stock market correction could be in the offing, according to a survey of global fund managers conducted by Bank of America. Adding to this, the survey highlighted that fund managers believe that if yields touch 2.5%, bonds are likely to become more attractive than stocks.
Gold Updates Gold prices traded steady with COMEX spot gold prices were trading near $1731 per ounce on Monday. Gold April future contract at MCX were trading over half a percent down at Rs. 44730 per 10 grams by noon.
Gold prices are expected to trade sideways to down for the day with COMEX spot gold support lying at $1710 and resistance at $1740. MCX Gold April support lies at Rs. 44500 and resistance lies at Rs. 44900.
Rupee Updates Indian rupee ended higher by 14 paise at 72.37 per dollar, amid selling saw in the domestic equity market. It opened marginally higher at 72.48 per dollar against Friday’s close of 72.51 and traded in the range of 72.33-72.51.
The range between 72.30-72.70 is expected to continue, as the markets broadly are in a weak direction for the USDINR pair. In any scenario of serious lockdown there might be chances of USDINR appreciation but till then it’s an advantage bulls for rupee.
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