All companies can avail COVID-19 emergency credit facility, minister of finance clarified
Finance Minister Nirmala Sitharaman on Monday clarified that each one company are going to be ready to cash in of the COVID-19 Emergency Credit Facility and it’s not only for Micro, Small, and Medium Enterprises (MSMEs). Addressing the members of the industry body FICCI, the minister of finance assured the industry of all possible help from the govt. He said on Monday that the govt would consider extending the deadline to avail corporate tax at the speed of 15 percent for brand spanking new investments thanks to the COVID-19 epidemic.
In September last year, the govt cut corporate tax by about 10 percent. the govt announced last year the foremost cuts in 28 years to draw in private investment and accelerate the sluggish economic process. the govt had reduced the company tax from 30 percent to 22 percent for already existing companies. Also, for brand spanking new manufacturing units formed after October 1, 2019, and commencing operations before March 31, 2023, the company tax was reduced from 25 percent to fifteen percent.
The minister of finance said, “We will see what is often done.” we would like the industry to urge the advantage of 15% corporate tax on new investment. ”
Sitharaman said that to urge the advantage of this scheme, the present deadline of March 31, 2023, is going to be considered.
In response to an issue about liquidity, the minister of finance said, “We have clearly resolved the difficulty of liquidity during a proper way.” there’s definitely the availability of liquidity. If there’s a problem despite this, we’ll check out them. ”
He said that each government department are asked to pay the dues of another department.
Regarding the necessity to scale back the GST rate for the worst affected sectors, Sitharaman said, “The GST rate reduction is going to be decided by the council.”