PREVIOUS
✖
Atma Nirbhar Bharat Abhiyan
May 16 , 2020
1575 days
1654
0
- PM Modi announced a special economic package worth Rs 20 lakh crore to enable self-reliant India.
- The economic package is 10% of the GDP.
- The new economic package is to be used to provide relief to labourers, middle class, farmers and industries that have suffered the most due to lock down.
- The package will address the five important aspect of production supply chain: Land, Labour, Liquidity, Law and Local.
- The scheme will not only help to strengthen the chain of local supply but will also promote the locally produced products.
- Under the new scheme, the Finance Minister announced 15 different measures.
- The Scheme will also focus on Vocal for Local.
Highlights
- The Government has changed the definition of MSMEs by increasing the investment limit upwards.
- Also, earlier, only investment was used to define MSMEs.
- With the changed definition both investment and turnover is used to define MSMEs.
- It is to be noted that for an enterprise to come under the category of MSME it has to fulfil both investment and turn over conditions.
- Also, under the new definition, the differentiation between the manufacturing and service based MSMEs is being removed.
- Loans worth to Rs 3 lakh crore are made collateral free for MSME sector.
- This is extended to firms whose outstanding loans are Rs 25 crore or those firms whose annual turnover is Rs 100 crore.
- Loan tenure is 4 Years with moratorium of 12 months on principal amount.
- Interest will be capped
- No Guarantee fee is required; however, 100% credit guarantee cover will be given to Banks & NBFCs on principal as well as interest.
- Global tenders will be disallowed in government procurement for tenders upto Rs 200 crores.
- The Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) rates are to be reduced by 25%.
- This will last till March 2021.
- The deadline of Vivad Se Vishwas Scheme is postponed to 31st December 2020.
- Today, under Employment Provident Fund scheme, 12% is contributed by the employee and 12% by the employer.
- For next 3 months, private employers and their employers need to pay only 10%.
Leave a Reply
Your Comment is awaiting moderation.