COVID-19 Impact: Economic Relief Package Soon, Says FM

Union Finance Minister Nirmala Sitharaman addressing the media via video conference on Tuesday announced that an economic package will be announced soon in the wake of the impact of COVID-19. She observed that it is essential at this point to spell out relief for statutory compliances since March 31 marks a deadline.

Nirmala Sitharamanremarked that relief had been worked out with regard to compliance and regulation related to an income tax matter. The FM said that for Financial Year 2018-19, the last date for filing returns has been extended to June 30, 2020. The interest rate would be reduced from 12% to 9%. Relief on delayed TDS deposit has also been reduced to 9% from 18%, she pointed out.

Nirmala Sitharaman announced the extension of Income Tax notices on filing returns and also said that the date for Aadhar-PAN linking had been extended to June 30, 2020. The last date for Vivaad se Vishwas scheme has also been relaxed to June 30, 2020, the FM announced.

Nirmala Sitharaman announced that compliance related to GST returns for the months of March, April and May 2020 has been extended to June 30. For companies with less than five crore turnover no interest, late fee or penalty will be charged, she said.

Nirmala Sitharaman announced that for companies with a turnover of more than five crores only interest at the rate of 9% will be charged. There would be no late fee and no penalty, she added.

In matters related to Customs and Central excise, the last date for disputes under the popular sab ka Vishwas scheme has been extended to June 30 and no interest will be levied, the Finance Minister said. She also said that Customs officials will be doing their duty during the lockdown period on a 24 x 7 basis.

The Finance Minister announced a slew of measures related to corporate affairs, insolvency and bankruptcy code related matters, banking and financial services, fisheries, commerce and other sectors.