GST INVOICES TOPIC: Economy Context- Finance Ministry is considering more measures to curb fake invoices under Goods & Services Tax. Concept- What motivates fraudsters to use fake invoices? Fake invoices are used because it not only helps evade GST on taxable output supplies by availing undue ITC and converting excess ITC into cash […]
UNCLAIMED BANK DEPOSITS TOPIC: Economy Context- There is a huge sum of money lying unclaimed with banks which needs to be reclaimed. Concept- Unclaimed Deposits: Unclaimed deposits are defined as those deposits which are lying in accounts not operated for a period of 10 or more years. Public sector banks have a higher […]
RESERVE CURRENCY TOPIC: Economy Context- Following the financial crisis of 2008, the dollar’s share in trade and currency reserves has grown. The dollar is nowhere close to being dethroned as the world’s reserve currency. Concept- According to the International Monetary Fund’s report : As of 2021, the dollar is used in close to […]
MONEY LAUNDERING TOPIC: Economy Context- ED arrests Maharashtra Minister Nawab Malik in money laundering case. Concept- Money Laundering: Money laundering is concealing or disguising the identity of illegally obtained proceeds so that they appear to have originated from legitimate sources. Money Laundering is an offshoot of parallel economy, which deprives most governments of […]
FINANCIAL STABILITY DEVELOPMENT COUNCIL (FSDC) TOPIC: Economy Context- The Financial Stability Development Council met on Tuesday to look at possible challenges for financial stability. The challenges include Crude oil International situation in Ukraine along with others. Concept- The Financial Stability and Development Council (FSDC) was constituted by an Executive Order of the Union […]
ANGADIAS TOPIC: Economy Context- An FIR has been registered against three Mumbai Police officials last week for allegedly threatening Angadias and extorting money from them in south Mumbai. Concept- Who are Angadias? The Angadia system is a century-old parallel banking system in the country where traders send cash generally from one state to […]
TAX HAVENS TOPIC: Economy Context- ‘Himalayan yogi’ planned vacation to Seychelles, shared songs with NSE chief, email exchange reveals. Concept- About Tax Havens: A tax haven is a jurisdiction with very low “effective” rates of taxation for foreign investors. In some traditional definitions, a tax haven also offers financial secrecy. However, while countries […]
CENTRAL BANK DIGITAL CURRENCY TOPIC: Economy Context- The Budget has proposed the introduction of digital currency, using blockchain and other technologies, by the RBI in FY23. Concept- About CBDC: According to the RBI, the CBDC will be a legal tender in digital form. It will be the same as fiat currency and will […]