Cashing post dated government of canada cheques


Are you missing a cheque or do you have an uncashed cheque from the Canada Revenue Agency?



Frequently asked questions

In banking, post-dated cheque is a cheque written by the drawer payer for a date in the future. Whether a post-dated cheque may be cashed or deposited before the date written on it depends on the country. A Canadian bank, for example, is not supposed to process a post-dated cheque and if it does so by mistake, the cheque writer may ask his or her bank to correct the error.

In the United States and the UKpost-dated cheques are negotiable instruments and can be drawn upon at any time, while in India post-dated cheques are not payable until the date written on the cheque. In Brazilthe drawer may seek damages in Justice if their cheque is cashed in before its due date, according to the jurisprudential orientation of the Superior Court of Justiceas per Summary No. Under the clearing rules of the Canadian Payments Associationa post-dated cheque cannot be cashed prior to the date written on it.

If a Canadian financial institution inadvertently accepts and processes a cheque before the due date, the cheque writer may ask his or her financial institution to return the amount until the day before the cheque should have been cashed. Post-dated cheques in Indian law are illegal. Section 68 of Indian Stamp Act declares that a person who draws a post dated cheque and the person who presents a post dated cheque for payment will be liable to be fined Rs. The definition of a cheque in Negotiable instrument act as well as in Negotiable Instruments Act is - that a cheque is always made payable on demand.

It is not cashing post dated government of canada cheques to understand that a post dated cheque is not payable on demand. The courts considered under the Negotiable Instruments Act, Post-dated cheques are common and enforceable. If a post dated cheque is a bill of exchange which is not payable on demand how the stamp duty will be calculated on such a bill evow dating online cashing post dated government of canada cheques. There is no exemption from payment of stamp duty on a bill of exchange if it is a cheque.

Stamp duty is payable on every negotiable instrument which is payable in future with reference to the time after which it is payable. Nobody in India has seen section 68 of Indian Stamp Act and no one has applied their mind on the reasons and logic why section 68 of Indian Stamp Act and the definition of cheque were drafted the way they were written.

The post-dated cheque is not payable till the date which is shown on the face of the said document. It will only become cheque on the date shown on it and prior to that it remains a bill of exchange under Section 5 of the Act. As a bill of exchange a post-dated cheque remains negotiable but it will not become a "cheque" till the date when it becomes "payable on demand".

In India the issue is complex [7] and mainly revolves around article of the Negotiable Instruments Act, The two major issues before the courts are:. In the UK the legislation is clear; 'A cheque is a bill of exchange drawn on a banker payable on demand'. However, a bank may refuse to honour a cheque if the postdate is noticed; othwerwise, the payer has no right to take any form of legal action against the bank for letting the cheque be processed. It is common for the terms and conditions of chequing accounts to state that postdated cheques should not be written and will be dishonoured if detected.

In the United Statesnational banks are permitted to pay checks even though payment occurs prior to the date of the check. According to the Comptroller of the Currency: Nonetheless, if "the customer has given notice to the bank of the postdating describing the check with reasonable certainty" the Uniform Commercial Code requires that the notice to be honored. In Serbia post-dating cheques is a customary practice in the retail industry. The retailers will usually accept post-dated monthly cheque payment installments up to several months in advance allowing their customers to pay for expensive goods as a sort of raleigh nc dating scene line of no interest credit.

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