Aatmanirbhar Bharat rests on five pillars: FM
On May 13, The finance minister Nirmala Sitaraman, who was flanked by the MoS Anurag Thakur and the finance ministry officials, addressed the nation to announce the first batch of schemes under the “Atmanirbhar Bharat Abhiyaan” announced by Prime Minister Narendra Modi yesterday.
Sitharaman said that the Aatmanirbhar Bharat rests on five pillars: Economy, Infrastructure, Technology-driven systems, Demography, and Demand. The focus will be on factors of production: Land, Labour, liquidity and Laws. The intention is to make local brands global.
Here are the key highlights:
• Collateral-free loans, backed by the central government, of up to Rs 3 lakh crore have been introduced for MSMEs.
• Up to Rs 20,000 crore liquidity support through subordinate debt for stressed MSMEs.
• A fund of funds of up to Rs 50,000 crore for equity support to MSMEs with growth potential.
• Definition of MSMEs has been revised.
• Global tenders to be disallowed up to Rs 200 crores
• Indian MSMEs and other companies have often faced unfair competition from foreign companies. Therefore, global tenders will be disallowed in government procurement tenders upto Rs 200 crores.
• EPFO support provided by the central government has been extended for another three months till August.
• A special liquidity scheme of up to Rs 30,000 crore has been announced for NBFCs, housing financiers and microfinanciers.
• Partial credit guarantee scheme for NBFCs has been expanded.
• Power distributor companies will be given a liquidity injection of Rs 90,000 crore to pay off their dues to power generation firms.
• Real estate developers allowed to invoke the ‘force majeure’ clause and extend registration and completion dates by six months.
• Rates for tax deducted at source and tax collection at source have been reduced.
• Due date for filing income tax returns have been extended.
• Due date of all income-tax return for FY 2019-20 will be 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.