Government’s move to boost economy: Top 10 announcements by FM

On Aug 23, 2019

Top announcements made by finance minister Nirmala Sitharaman:
1)FPI surcharge withdrawn: Enhanced surcharge levied
on foreign portfolio investors (FPIs) removed , restoring pre-Budget position.
2)Corporate Social Responsibility: CSR violation will be not be treated as criminal offence .
3)Banks passing on RBI rate cuts:
Lenders have decided to pass on rate cuts by the Reserve Bank of India (RBI) to borrowers; launched repo rate or external benchmark-linked loan products. Repo rate is the rate at which the RBI lends money to the banks.
4) Bharat Stage 4 vehicles: Old BS-4 vehicles purchased up to March 31, 2020 will remain operational for the entire duration of registration. The Centre will lift the ban on purchase of new vehicles for replacing all old vehicles by government departments, and consider various measures including scrappage policy to boost demand, she said. Recipes for a ‘healthy you’ by eatfit
Besides, both electric vehicles (EVs) and Internal Combustion Vehicles (ICV) will continue to be registered.
5) Centralised tax notices: All old tax notices will be decided by October 1 or will be uploaded again through the centralised system.
6) Capital infusion in state-owned banks: Centre to infuse upfront Rs 70,000 crore into public sector banks to enable release of Rs 5 lakh crore liquidity in the market.
The move is expected to generate an additional lending and liquidity in the financial system to the tune of Rs 5 lakh crore.
7) Surcharge on capital gains: Enhanced surcharge on capital gains withdrawn.
8) Goods and Services Tax (GST) refunds: All pending GST refund due to MSMEs shall be paid within 30 days. In future all GST refunds shall be paid within 60 days from the date of application.
9) NBFCs and Aadhaar: NBFCs (non-banking financial companies) to be permitted to use the Aadhaar authenticated bank KYC to avoid repeated processes.
10) Angel tax on startups: The Centre also announced that the ‘angel tax’ provision will be withdrawn for startups and their investors. Announcing measures to boost the subdued economy, the finance minister said that Section 56 2(b) of the Income Tax Act will not be applicable on startups registered under the Department for Promotion of Industry and Internal Trade (DPIIT).