Posted on 12/16/2016 1:38:26 PM PST by Lorianne
AU News reports Government Floats $100 Note Removal.
“SAY goodbye to the $100 note.
Australia looks set to follow in the footsteps of Venezuela and India by abolishing the country’s highest-denomination banknote in a bid to crack down on the “black economy”.
Speaking to ABC radio on Wednesday, Revenue and Financial Services Minister Kelly O’Dwyer flagged a review of the $100 note and cash payments over certain limits as the government looks to recoup billions in unpaid tax.
“The whole point of this crackdown on the black economy is to make sure we close down any potential loopholes,” she said. Despite the broad use of electronic forms of payment, Ms O’Dwyer warned there are three times as many $100 notes in circulation than $5 notes.
“It does beg the question, ‘Why?’” she said.
There are currently 300 million $100 notes in circulation, and 92 per cent of all currency by value is in $50 and $100 notes.
A report by UBS recommended Australia scrap the $100 note. According to UBS, benefits may include “reduced crime (difficult to monetise), increased tax revenue (fewer cash transactions) and reduced welfare fraud (claiming welfare while earning or hoarding cash)”.
“From the banks’ perspective there would likely be a spike in deposits — if all the $100 notes were deposited into banks (ignoring hoarded $50 notes), household deposits would rise around four per cent,” the report said.”
Why?
Financial Services Minister Kelly O’Dwyer notes there are currently 300 million $100 notes in circulation, and 92 per cent of all currency by value is in $50 and $100 notes.
“It does beg the question, ‘Why?’” she asked.
It would behoove O’Dwyer to think. People can have 100 pennies in their pocket (each of which is nearly worthless) or they can hold a dollar.
Similarly, people can hold a stack of ten $10 notes in their wallet or they can hold a $100 note.
How much is the doggie in the window? 50 credits sir.
Sounds racisssssss.....
How will Johns pay their hookers?
How in the world am I supposed to gamble in Vegas w/o $100 bills?
“Demonetization” has caused a stir in India this week with anger in the national legislature of the matter.
The big banks, big corporations and big government are all in on doing this, its just a matter of time.
In Venezuela, where inflation rages in the “socialist paradise” reports of looting today as the government took 100 notes out of circulation, closed the country’s borders and has still not delivered promised 500 notes to banks.
I’ve only seen one $100 bill in many years. People don’t use them If the govt ever tries to stop $20 bills, We will be in trouble.
I don’t go to casinos, but I get the impression from those who do they don’t pay cash out to big winners anymore.
Las Vegas casinos usually pay out in cashier’s check for any wins over $1,500.00—after the winnings have the IRS W-2G withholding taken out.
Every cashier window in every casino still dishes out the 100s if you have table game chips.
I use $100’s, $50’s and $20’s all the time in restaurants.
No way I’m letting a server run off with my credit card.
With all the security issues with credit card companies and identity theft risks, I use cash more than ever before.
Bad time to force a society to use the risky electronic methods.
India’s demonetization was met with insufficient replacement bills, not enough support in rural areas, long lines for weeks to deposit and replace cash, money laundering to transfer cash to farmers and tribal provinces the money “replacement” order doesn’t cover, a near total shut down of agriculture and informal businesses as they refuse to take the soon to be void bills and outright barter.
You’ll see a rise in use of Mexican currency in the US. It is already showing up in Texas because of how many illegal immigrants there are, like when Pizza Patron said “We’ll take dineros for the convenience of our customers.”
When I was in Australia 4 years ago, ‘plastic’ seemed to be socially frowned upon. It was very much a cash economy in every city or town I was in.
Aussie call girls freak out.
Most transactions now are definitely by card - PayPass/PayWave, the ability to pay without keying in a PIN, has made a big difference in the last couple of years in Australia.
I don’t believe we’re going to go cashless in the near future, but most Australians rarely see hundred dollar notes - ATMs typically dispense $50 and $20 notes, you only get $100s by walking into a bank and asking for them. Taking them out of circulation would barely be noticeable to most people.
They must not have casinos....
We do - but not many. Basically each state capital has one, and there are a couple of others scattered around the country.
There are poker machines in a lot of pubs and clubs, but Casinos are rare - big where they exist, but rare.
And, yes, they pay out large amounts in hundreds sometimes, but they are probably the only businesses that do.
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