BREAKING | Decoding of Rs 20 Lakh Crore Economic Package| New Definition of MSMEs; Tax filing due date extended to 30th November, 2020

Background:

Amidst the Corona crisis, PM announced  a special economic package with a new resolution. This economic package will serve as an important link in the ‘AtmaNirbhar Bharat Abhiyan” (Self Reliant India Campaign)‘.

What the Prime Minister said about the package?

In the recent past economic announcements made by the government related to the Corona crisis, which were the decisions of the Reserve Bank. The economic package that is being announced today, if added, comes to around Rs. 20 lakh crores. This package is about 10 percent of India’s GDP. With this various sections of the country and those linked to economic system will get support and strength of 20 lakh crore rupees. This package will give a new impetus to the development journey of the country in 2020 and a new direction to the Self-reliant India campaign. In order to prove the resolve of a self-reliant India, Land, Labor, Liquidity and Laws all have been emphasized in this package.

This economic package is for our cottage industry, home industry, our small-scale industry, our MSME, which is a source of livelihood for millions of people, which is the strong foundation of our resolve for a self-reliant India. This economic package is for that labourer of the country, for the farmers of the country who are working day and night for the countrymen in every situation, every season. This economic package is for the middle class of our country, which pays taxes honestly and contributes to the development of the country. This economic package is for Indian industries, which are determined to give a boost to the economic potential of India. Starting tomorrow, over the next few days, the Finance Minister will give you detailed information about this economic package inspired by the ‘Self-reliant India campaign’.

First press conference on the decoding Rs 20 Lakh Crore Package held today.

LIVE UPDATES

• Focal point: Liquidity, Labour, Law and Land.
• 6 Major steps for MSMEs
• Collateral free Automatic Loans upto Rs 3 lakh Crores
• 100 % credit guarantee
• Additional Funds for MSME revival
• Loans to be given till October 31st
• Rupees 20 Crore for stressed MSMEs
• 50,000 Crore equity to be infused for viable and potential MSMEs
• New Definition of MSMEs — Investment can be upto 1 Cr and turnover upto 5 Crore
• Global tender to be allowed upto Rs 20 Crores
• Other interventions for MSMEs
• Rs 2500 crores EPF support for businesses and Workers for 3 months
• EPF contribution reduced for Business and Workers for 3 months — Rs 6750 Crores
• Rs 30,000 crores liquidity facility for NBFC/HCs/MFIs
• Rs 45,000 Crores Partial Credit Guarantee Scheme 2.0 for NBFC
• Rs 90,000 CR liquidity injection for DISCOMs
• Relief to contractors
• Extension of registration and completion date of real estate projects under RERA; No individual applications needed; Suo Moto be done; Registered projects expiring on or after 25th March
• Rs 50,000 crores Liquidity through TDS/TCS reductions till March 2021
• Tax filing due date extended to 30th November, 2020
• Pending refunds to charitable trusts and non-corporate businesses & professions including proprietorship, partnership, LLP and Co-operatives shall be issued immediately.
• Due date of all income tax return for FY2019-20 extended from 31st July, 2020 & 31st October, 2020 to 30th November, 2020 and Tax audit from 30th September, 2020 to 31st October, 2020.
• Date of Assessments getting barred on 30th September, 2020 extended to 31st December, 2020 and those getting barred on 31st March, 2021 will be extended to 30th September, 2021.
• Period of Vivad se Vishwas Scheme for making payment without additional amount will be extended to 31st December, 2020