(Pooja Pal; Intern Journalist): Prime Minister Narendra Modi, while addressing the nation on Tuesday, announced a financial package of Rs 20 lakh crore to make our country self-sufficient during this recessionary phase caused by the outbreak of COVID-19. Besides this, he alleged that Finance Minister-Nirmala Sitharaman will provide the details for the same from Wednesday. In this context, the Finance Department tweeted on Wednesday morning that FM will direct a press conference in New Delhi at 4 p.m.
Finance Minister Nirmala Sitharaman prepared a large proclamation on TDC and TCS on Wednesday. She alleged that it has clear-cut to discontinue the TDS / TCS degree by 25% on each type of payment except non-salaried payments by 31 March 2020. This action of the administration will lead to an increase in the amount of money possessed by the public. The Finance Minister further announced to stretch out the deadline for filing pay tax returns with it. Earlier, she alleged that the administration would advance a loan of Rs 3 lakh crore to micro, small, and medium industries (MSME) sector without any covenant. She believed that this is a collateral-free finance agreement scheme. 6 steps experience been announced for MSMEs. Besides this, prior relief to several companies about EPF has been announced to persist for the subsequent three months. In spite of 12%, private companies now have to contribute only 10% in the PF fund for the following 3 months.
Acknowledging the Finance Minister’s detailing of the scheme:
Unsecured loan of Rs 3 lakh crore for the MSME sector.
45 million MSMEs to aid from collateral-free advance.
Loan for 4 years to MSME.
100 crore turnover to be benefitted by loans of 25 crores.
The principal will not be repaid for the leading 12 months.
20 crores out of 3 lakh crores for NBFC.
50000 crore fund of reserve will be produced for MSME.
Amendment of the definition of MSMEs.
MSME will be connected to the e-market.
Discom will put 90000 crore in liquid money.
10 crore to 50 crore firm to remain small.
Falling below 200 crores mark will not have universal tender. MSMEs will be provided with benefits.
2500 crores to be invested in EPF.
EPF’s earlier relief to continue in June, July, and August as well.
72 lakh employees to be benefitted by the administration’s aid in EPF.
Private companies’ contributions to decrease from 12% to 10%.
Employers aided by Rs 6800 crore owing to drop in EPF: Finance Minister.
Liquid money aid of Rs 30,000 for NBFCs, housing finance companies, and MFIs.
Discoms face hefty cash flow: Finance Minister.
E-market to serve as linkage for MSMEs.
Regime to take over MSME’s remaining payments within 45 days.
TDS rate to decline by 25%.
Will apply to each type of payment.
To be applicable from 31 March.
The pre-decided dates for filing income tax returns extended from 31 July and 31 October to 30 November 2020.
Announcing a massive relief for the stakeholders, the Finance Minister alleged every agency to permit the contractors another six months to finalize the drudgery at no charge.
A cumbersome relief to the genuine estate developers, the regime has elongated the deadline for completion of the project and registration for 6 months.
Earlier, she assumed that 5 kg of rice and grain was circulated to 80 crore poor. 8 crore Ujjwala scheme members are being provided with free cylinders for 3 months. The announcements alleged in the Garib Kalyan Yojana came into existence.
Relating to the economic package of Rs 20 lakh crore, the Finance Minister stated that this decision popped up after consulting all the parties. Sitharaman alleged that this package takes all industries into consideration and was of utmost importance to accelerate the growth of our nation.
The press conference opened with ATMANIRBHAR BHARAT ABHIYAN. She stated that PM Modi opens the apparition of self-reliant India while addressing the nation. The FM believes to make India self-reliant with this package.
Finance Minister Nirmala Sitharaman stated the 5 pillars of self-reliant India – economy, infrastructure, systems, demography, and demand.
Before this, the administration announced an economic package of Rs 1.70 lakh crore in March. Under this package, the poor were provided with food grains for free as well as cash transfers for poor women and the aged ones. The administration named it as the Pradhan Mantri Garib Kalyan Yojana.
The package seemed to be of utmost importance due to the COVID-19 pandemic which has caused a recession in the economy.
The lockdown is in existence since March 25 to check the unfold of the deadly coronavirus infection in the country. Because of this, economic actions are at a perfect standstill including all businesses as well. In this context, the monetary enclose was in dire necessity.
