With a great help to the small businesses, Jaitley added that the exemption limit under GST (Goods and Services Tax) for those with an income goes up to Rs 20 lakh has been augmented to Rs 40 lakh. For other regions that go up to Rs 10 lakh revenue, the limit is now boosted to Rs 20 lakh, he told. Many sources told that all small merchants might get unplanned insurance that will cover up to Rs 10 lakh based on gross revenue.
The system, if sanctioned by the government, is expected to be proclaimed by the close of this month rather than the beginning of the Budget session, the sources added. PMSBY at present offers Rs 2 lakh unplanned cover just at a cost-effective rate of Rs 12 each year. The Scheme is offered to individuals in the age group 18 to 70 years with an investments bank account who provide their agreement to connect and allow auto-debit on or rather than May 31 per annum.
You Might Also Like To Read GST exemption limit doubled to boost SME's
In addition, the government is also thinking to offer concessional funding to merchants, who want to accept computerization and update their businesses. Colombia a superior strategy might be expressed to boost women businesspersons, sources told, adding a maximum interest grant to these businesspersons is also being anticipated. Out of the government obtaining authorized from small merchants, assured proportion might be set aside for women tycoons.
The previous year, the government had declared 59-minute loan approvals, reduction in labor laws, easier obedience with ecological instructions and variations in business laws for small and medium businesses to provide an increase to the state's second-major paying segment.
GST-listed micro, small and medium enterprises (MSMEs) can procure loan up to Rs 1 crore in only 59 minutes through 'psbloansin59minutes.com' portal. The general elections are due in a coming couple of months
In a huge boost to the small businesses, Union finance minister Arun Jaitley on Thursday told the GST Council has created the annual gross revenue exemption limit for the configuration scheme. The council has augmented the GST exemption limit to Rs 20 lakh from Rs 10 lakh for the northeastern states and Rs 40 lakh, from Rs 20 lakh, for the rest of the nation, Jaitley told. The finance minister also told that the yearly income for availing configuration scheme has been augmented to Rs 1.5 crore from Rs 1 crore, effective from April 1, 2019.
Businesses come under the scheme will now go to pay tax on a quarterly basis but the revenues will be filed per annum, Jaitley told. Likewise, service providers and suppliers of both better goods and services up to revenue of Rs 50 lakh would be qualified to choose the GST composition scheme and pay a tax of 6 percent. The GST council is led by the finance minister. The identical choice under the composition scheme would have an annual revenue impact of about Rs 3,000 crore. Jaitley further specified that the small firms would have the choice to choose GST tax net.
Under the composition scheme, merchants and companies can pay taxes at a concessional rate of 1 percent, while cafeterias pay 5 percent GST. For Kerala, the finance minister told that the state is now allowed to intra-state trade and can execute access of extreme 1 percent for a period of two years.
On comprising real estate and lottery under the GST (Goods and Services Tax), the council chooses to form a seven-member group of rectors after alterations of opinion appeared at the meeting, Jaitley told.
Better move, this is a people-centric government, amending afresh introduced GST as and when obligatory or on demand. Obviously, haters and scammer will check election plan here as well. AROP The council also chooses that free accounting and billing software will be offered to small taxpayers by GSTN. There are more than 1.17 crore businesses which have listed under the GST. More than 18 lakh have chosen composition scheme.