Keeping in view the sizeable increase in the number of ESI beneficiaries subsequent to expansion of ESI Scheme in newer geographical areas, efforts are constantly being made to strengthen the ESI medical care infrastructure to provide better medical services in the vicinity of beneficiaries’ residence.Read more
A limit has been imposed on total rewards under the Merchandise Exports from India Scheme (MEIS).
A notification issued by Directorate Generate of Foreign Trade (DGFT) last evening says that the total reward which may be granted to an IEC holder under the scheme shall not exceed Rs.2 Crore per IEC of exports made in the period 1.9.2020 to 31.12.2020. Read more
Reduction in Rates of ‘Tax Deduction at Source’ and ‘Tax Collected at Source” – The TDS rates for all non-salaried payment to residents, and tax collected at source rate will be reduced by 25 percent of the specified rates from 14th May, 2020 to 31st March, 2021
The due date of all Income Tax Returns for Assessment Year 2020-21 will be extended from 31st July,2020 & 31st October,2020 to 30 November, 2020.
Tax audit due datewill be extended from 30th September,2020 to 31 October .2020.
The date for making payment without additional amount under the “Vivad Se Vishwas” scheme will be extended to 31 December, 2020.
The pending income tax refunds to charitable trusts and non-corporate businesses and professions including proprietorship, partnership and LLPs and cooperatives shall be issued immediately.
Statutory PF contributionof both employer and employee reduced to 10% each from existing 12% each for all establishments covered by EPFO for next 3 months.
The scheme introduced as part of PMGKP under which Government of India contributes 12% of salary each on behalf of both employer and employee to EPF will be extended by another 3 months for salary months of June, July and August 2020.
Earlier it was for only March, April and May 2020 now it has been extended to salary months of June , July & August 2020.
RELIEF TO REAL ESTATE PROJECTS
The registration and completion datefor all registered projects will be extended up to six months.
State Governments are being advised to invoke the Force Majeure clause under RERA. The registration and completion date for all registered projects will be extended up to 6 months and may be further extended by another 3 months based on the State’s situation. Various statutory compliances under RERA will also be extended concurrently.
This measure will safeguard the interest of homebuyers to get them the delivery of their flats/homes although with the delay of few months but it will definitely ensure the completion of the projects.
RELIEF TO MSME SECTOR
Definition of MSME will be revised by raising the Investment limit. An additional criterion of turnover also being introduced.
2.The distinction between manufacturing and service sectorwill also be eliminated.
3.e-market linkage for MSMEs will be promoted to act as a replacement for trade fairs and exhibitions. MSME receivables from Government and CPSEs will be released in 45 days.
4. Rs 50,000 crore equity infusion through MSME Fund of Funds-Govt will set up a Fund of Funds with a corpus of Rs 10,000 crore that will provide equity funding support for MSMEs.
5. Rs 20,000 crore Subordinate Debt for Stressed MSMEs–Provision made for Rs. 20,000 cr subordinate debt for two lakh MSMEs which are NPA or are stressed. Government will support them with Rs. 4,000 Cr. to Credit Guarantee Trust for Micro and Small enterprises (CGTMSE). Banks are expected to provide the subordinate-debt to promoters of such MSMEs equal to 15% of his existing stake in the unit subject to a maximum of Rs 75 lakhs.
6.Rs 3 lakh crore Emergency Working Capital Facility for Businesses, including MSMEs
To provide relief to the business, additional working capital finance of 20% of the outstanding credit as on 29 February 2020, in the form of a Term Loan at a concessional rate of interest will be provided.
This will be available to units with upto Rs 25 crore outstanding and turnover of up to Rs 100 crore whose accounts are standard.
Tenor:4 Years Tenor with moratorium of 12 Months on principal repayment
Interest to be capped
The units will not have to provide any guarantee or collateral of their own. The amount will be 100% guaranteed by the Government of India providing a total liquidity of Rs. 3.0 lakh crores to more than 45 lakh MSMEs.