Ever since the Central government announced its plans to move towards a cashless economy, the demand for point of sale (PoS) machines have seen a steep ascend in Indore.
Post the demonetisation decision, many traders, food outlets, shopping malls and even vegetable vendors have installed swiping machines to cope with the cash crunch.
The number of requests for PoS machines received in nationalised and private banks in the city has increased significantly. “In last one month, the number of requests for connection of PoS machines has increased four times. While earlier, we used to get around 250-300 connection requests in a month, now the number has increased to more than 1,000 requests a month,” said an official from HDFC Bank, adding that they have also seen 70% increase in online transactions in last 8-10 days.
“We now get 100-150 applications for PoS machines overall in Indore branches, which is a three-fold increase compared to 40-50 applications we used to get before demonetisaton. Our team is working to cope with demands pouring in from doctors, chemists, vegetable vendors and stationery shop owners among others,” said Virendra Kumar, SBI regional manager.
The bank officials also said that there is a shortage in supply of PoS machines when compared to demands, and they are expecting it to be resolved in two to three weeks.
Gaurav Chopara, manager of Sunmax corporation, an Indore-based PoS machine supply outlet, too maintained that his customers have increased by at least 30% post demonetization. “Earlier, we used to get 60-80 customers a month, but now 150-160 people come asking for the machines,” said Chopara, who imports swiping machines from Taiwan. He said that renting of the machines also have increased on the same scale.
Chopara also said that demand for currency counting machines have also seen a significant rise as most of the cash now flowing in the market is in Rs 100 denomination.
Demonitisation is not scheme to launder black money: I-T Dept
The income tax department on Wednesday said demonitisation was not a scheme to convert unaccounted money into an accounted sum.
The department’s statement comes in wake of barrage of queries it received in the past one month from traders and businessmen who wanted to know on safe methods of investments.
“People have to be answerable for every penny they deposit in bank. Demonitisation should not be misunderstood as a scheme to launder your black money (convert it into white money),” Indore region chief income tax commissioner Vinod Kumar Mathur said.
He said any cash deposited in a bank was explainable if a mismatch was found.
Mathur said the I-T department might ask an assessee (a person by whom any tax or any other sum of money is payable under Income Tax Act) to explain in case his case comes up for scrutiny due to suspicious transactions.
“The I-T department has no role in demonitisation announced on November 8 but it has to ensure that whatever money is deposited in banks by assessees should be explainable if the need arises,” Mathur told HT.
“Our information system is robust. We have more information about people’s finances than they think we have,” he said.
Meanwhile, the department has begun to redig its records about people who evaded tax in past. On radar, are people dealing in real estate, equity purchases.
He said the department’s other areas of focus include vehicle registration, purchase and deployment of poclain machines (which costs above ₹78 lakh) and bogus accounts in co-operative credit societies, co-operative banks in Indore region which includes 15 districts of Indore and Ujjain divisions.