Top economical announcements made by the Govt. Of India that every business owner must know during the COVID-19 Lockdown - Yescom Group of Companies

The COVID -19 has brought about a different kind of crisis globally including health , medicine, economy and finance altogether. This disastrous situation is nothing but a nightmare for the financial sector. However, the financial steps taken by the government of India have brought the light of hope for the Businessmen to fight in this slowdown economical sphere. Whereas the different governments are taking constructive decisions for supporting economical sphere of the global market place, meanwhile, during India’s lockdown our financial minister Nirmala Sitharaman has made such co-operational announcements relaxing business and market sector. Here are the lists of different sectors which have been given relived by the government. 

  1. Income Tax – When it comes to the finance sector the income tax return filing is the most concerning matter for all the working people. See to the relaxation that has been brought to all the Indian Citizens for financial relaxation by finance ministry.
  • The last date for income tax returns filing is extended till 30th June 2020 for the financial year 18-19.
  • Last date for Adhar and PAN linking is also extended till 30 June 2020.
  • Not only relaxation in return filing date is extended but also the Finance minister has stated that the delayed payment interest rates for financial year 18-19 are reduced from 12% to 9%.
  • “Vivad se Vishwas” Scheme is extended till 30th June 2020 and 10% additional payment is also removed till the date.
  • Delayed TDS deposit till 30th June 2020 will be charged on a reduced interest rate of 9% from 18 %. However, the last date for the TDS deposit is not extended.
  • All the financial issuance of notices, returns, enforce laws, property bills, etc have been extended till 30th June 2020 from 31st of March 2020.
  • GST key Announcements – GST is another burning issue for the corporate and business owner. Here you can see the relaxation given by the government of India.
  • The last date is extended till 30th June 2020 for March, April, May and composition returns filing.
  • The last date for the opting composition scheme is extended till 30th June 2020.
  • No interest and delay penalty would be applicable for the companies with less than 5 Cr turnover. Those companies having more than 5 Cr annual turnovers, interest would be 9% (reduced).        
  • The payment date under “Sabka Vishwas scheme” is extended till 30th June 2020.  
  • Relaxation from the Department of Financial Services – This is a gift of the government to all Indian citizens during this hard time. There are different steps have been taken by banking authorities to give relaxation to all the citizens.
  • All the Debit cardholders can withdraw money (Cash) from any bank ATM. There would be no charges applicable during these 3 months. Month counts from March and these facilities would be applicable till June.
  • No minimum balance would be required during Corona-Outbreak. People can withdraw their money for needful purposes.
  • The government has also encouraged the online transaction for financial activities on reduced charges.
  • Relaxation in Companies Provision & Law – The Government has also helped the Companies in managing their legal activities and affairs. Their major announcement made are –
  • The new companies / Start-ups formed within the last 6 months can file their COB in the next 6 months. They are given 6 months extension for filing their COB and managing their Business-operation.
  • Under Section 149(3) of the New Companies ACT (2014), each company needs to have at least one director who has stayed in the company minimum of 182 days or more in the previous calendar year, would not be treated as the violation of the law during this Corona Outbreak-2020. Means, Those company directors who fails to meet this requirement would not be taken as violation of the act.
  • Deposit provision under the Companies Act, 2013, Requirement to create a deposit reserve of 20% of deposits maturing in 2020 can comply till 30th June 2020.
  • Auditor’s report Orders 2020 would be applicable from the financial year 2020-21 to 2019-20 for the companies.  
  • Ministry of Corporate Affairs (MCA) has relaxed the start-ups by extending the MCA filing till 31st September 2020. Additionally, there would be no penalty or late fine for late filling during the moratorium period from 1st April to 30th of September 2020.

So these are some of the great news for all the business owners during this economical slowdown phase and lockdown due to the Covid-19 outbreak. There are several other measurements and economical packages that have been released by the government which is helping the corporate and the companies/start-ups to fight with this difficult situation. The decision and key announcements made by the finance ministry is appreciable and need of the hour for all the Businesses and public.