If you see artificats then its most certainly the Graphics Card. In my life time I have seen many graphics card fail similarly but only after 3 to 4 years of excessive use. You said your graphics card was 8 months old so it must still have warranty. So go on and claim warranty. One another thing the artifact issue might also come if your graphics fan is not spinning properly to cool it - so before going for a warranty claim make sure the fans are spinning properly to keep the graphics cool.
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Those artifacts appear more frequently only when gaming so I guess you are right about the graphics card. I checked the GPU fans - they are spinning nice - the GPU utility reports GPU temperature between 60-70 degrees during gaming so its certainly not heat issues. I will take the GPU for RMA tomorrow. Thanks for you help.