Recently we had seen that RBI had issued a circular that Rs. 2000 note will be removed from circulation but will remain legal tender and banks were advised to accept such notes till 30.09.2023.
To read more about this CLICK HERE: Rs. 2000 note removed from Circulation Will continue as Legal Tender – Taxontips.
As soon as the news was announced people started to panic and thought that government has again announced demonetization and now they cannot use Rs. 2000 note.
We had even seen many people coming on streets and starting their business of exchanging Rs. 2000 notes for 500 notes and charging a commission for same.
Is there really anything which one needs to worry about? Is holding Rs. 2000 be considered as illegal?
As of now government has asked banks to accept Rs. 2000 note till 30.09.2023. Hence, till 30.09.2023 people can easily go to banks and exchange their notes or deposit it in bank and then withdraw the cash later.
Further, recently SBI has also announced that till the tune of Rs. 20000 no ID proof is required to exchange Rs. 2000 note.
Also, Rs. 2000 bank is still a legal tender and hence businesses will also accept the same as a mode of payment.
Thus, there is a long period of time available for people to take action and there is no need to panic and remove Rs. 2000 note as of now. People are taking benefit of such panic and have started their business to exchange notes. However, if such notes are a part of your declared income you need not worry and you can either deposit this money into your bank or use it for making payment for your purchase.
The only intention of government with this move is to remove Rs. 2000 note from circulation and let Rs. 500 note be the biggest denominator so that people transact more and more in digital manner and black money is also curbed.
Hence, only the people who own black money should be the one who should worry with this move and not the honest taxpayers.