Launched by Prime Minister Narendra Modi on August 28, 2014, PMJDY has been a cornerstone of the government's efforts to extend financial services to all corners of the nation.
Ministry of Finance, Department of Revenue, dated 21 October 2015, introduces amendments to the previously issued notification No. 25/2012- Service Tax. These amendments primarily focus on providing tax relief to certain financial institutions and individuals engaged in rural development and religious activities.
Specifically, the notification exempts banking companies and their correspondents from service tax on services related to the Pradhan Mantri Jan Dhan Yojana, a government-based financial inclusion scheme. Additionally, it extends tax benefits to insurance companies operating in rural areas and clarifies the definition of a basic savings bank deposit account.
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