List Of Government Relief For MSMEs
The government is trying hard to maintain its consistency in terms of economy, employment, trading, liquidity, and many more. They have made some changes in the MSME schemes, relief, in the registration process, for the loans, and many more. The main reason for doing such things is to increase the employment rate in the rural and backward areas. And to employ those skilled labourers who left the cities, and their work along with their families. Indian Prime Minister has outlined five pillars of Atma Nirbhar Bharat Economy, Infrastructure, System, Vibrant Demography, and Demand. MSMEsThe government is trying hard to maintain its consistency
The main aim of the Indian Government is to make “Self-Reliant India” that’s why they have given a total of 10% of the GDP in this “Atma Nirbhar Bharat Mission”. And their main focus will be on land, labour, liquidity, and low.
- 3 Lakh Crore for those who are working for “Emergency Working Capital Facility” for businesses, and MSMEs.
- 20,000 Crore for the subordinates especially for stressed MSMEs.
- Rs. 50,000 Crore for equity infusion for funds of funds through MSME.
- New definitions and measures of MSME have been introduced.
- There will be no global tenders for the Government of up to Rs. 200 Crores.
- Employees’ provident fund will be extended for the business and organized workers for the upcoming 3 months for the salary of June, July, and August 2020.
- There has been a reduction in the EPF contributions for the next 3 months to 10% from 12% for all the establishments covered by EPFO.
- 30,000 Crore has been given for the liquidity scheme for NBFC/HFC/MFIs.
- 45,000 Crore has been given to the partial credit guarantee scheme 2.0 for all the liabilities of NBFCs/MFIs.
- 90,000 Crore for the liquidity injection for DISCOMs.
- There has been given a little time to the contractors working nationwide for the completion of the ongoing work and that is 6 months, which includes EPC and concession agreements.
- The date has been extended to 6 months for all the real estate projects in which it includes the registration process and completion of the projects.
- There has been a relaxation in tax-paying to businesses as pending income tax refunds to charitable trusts and non-corporate businesses and the profession which will be issued soon.
- There has been a reduction in rates of “Tax Collected at Source” and “tax Deduction at Source” by 25% for the remaining period of the Fiscal Year 2020-21.
- All the due dates have extended for the various tax-related compliances.
These were the main reliefs which were announced by the government during the pandemic
COVID-19 to save the economy and its rate from falling. A corpus amount of Rs. 41,600 Crore was announced by the government of India for the spread of COVID-19 and will remain the same for the next 3 financial years. It does have its pros and cons but the main thing it is targeting is to help the poor and give them employment in their areas itself. When they will be able to work in their areas then they will agree to work at a minimum cost also as their cost of travel, rent, etc, gets reduced directly. And this will directly affect their living standards, hygiene, proper sanitation, and many more. As we all know that India’s unemployment is much high and it will keep on increasing day by day due to this pandemic. Similarly, the number of graduates is also increasing. So, to provide them the employment government has changed the definition of MSME and has also brought some major changes in that. And this the reason why those mentioned above reliefs were brought into existence.