Special Economic Package - Atmanirbhar Bharath

First Tranche of the Economic Relief package announced by the Finance Minister:

1. TDS and TCS rates reduced by 25% of the existing rates. The revised rates will come into effect from 14/05/2020 and will be in effect till 31/03/2021.
2. The due date for all Income Tax Returns for FY 2019-2020 extended from 31/07/2020 and 31/10/2020 to Nov 30, 2020.
3. The date for Tax Audit for FY 2019-20 extended from 30/09/2020 to 31/10/2020.
4. The period for Vivad se Vishwas Scheme has been extended to the 31st December 2020
5. 3 lakh crores collateral-free automatic loan will be issued to MSME. These loans will have 4-year tenure with a moratorium of 12 months.
6. Rs 20,000 crore sub-ordinate Debt for MSMEs.
7. Rs. 50,000 crores equity infusion through MSME Fund or Funds
8. The definition of MSME has been revised. The turnover and investment limits have been revised as follows           

Existing MSME classification
Criteria: Investment in Plant & Machinery or Equipment
Classification	Micro	Small	Medium
Mfg. Enterprises	Investment<Rs.25L	Investment<Rs.5Cr	Investment<Rs.10Cr
Services Enterprise	Investment<Rs.10L	Investment<Rs.2Cr	Investment<Rs.5Cr
Revised MSME classification
Composite Criteria: Investment and Annual Turnover
Classification	Micro	Small	Medium
Manufacturing & Services	Investment<Rs.1Cr & Turnover<Rs.5Cr	Investment<Rs.10Cr & Turnover<Rs.50Cr	Investment<Rs.20Cr & Turnover<Rs.100Cr

1. E-market linkage for MSMEs will be promoted to act as a replacement for trade fairs and exhibitions. MSME receivables from Government and CPSEs will be released in 45 days .
2. General Financial Rules (GFR) of the Government will be amended to disallow global tender enquiries in procurement of Goods and Services of value of less than Rs 200 crores.
3. The government will make EPF contributions of 12% on behalf of the employer and the employee for the month of June, July, and August. The facility which was already given by the government will now be provided for 3 more months.
4. The statutory limit for contribution to PF is being reduced from 12% to 10% for employer and employee for the next three months for all registered establishments.
5. Rs 30,000 crores Special Liquidity Scheme for NBFC/HFC/MFIs
6. Rs 45,000 crores Partial credit guarantee Scheme 2.0 for Liabilities of NBFCs/MFIs
7. Power Finance Corporation and Rural Electrification Corporation will infuse liquidity in the DISCOMS to the extent of Rs 90000 crores in two equal instalments.
8. All central agencies like Railways, Ministry of Road Transport and Highways and CPWD will give extension of up to 6 months for completion of contractual obligations, including in respect of EPC and concession agreements
9. The registration and completion date for all registered projects will be extended up to 6 months and may be further extended by another 3 months based on the State’s situation. Various statutory compliances under RERA will also be extended concurrently.
10. The pending income tax refunds to charitable trusts and non-corporate businesses and professions including proprietorship, partnership and LLPs and cooperatives shall be issued immediately.

Second Tranche of the Economic Relief package announced by the Finance Minister:

1. The government will give free food grain supply to migrants for 2 months. A total of Rs 3500 crores will be spent on this.
2. Migrant Workers will have affordable rental housing complexes.
3. One Nation one ration card will come into effect by March 2021.
4. The GOI announced additional emergency working capital of Rs 30,000 crores for farmers through NABARD.
5. Rs 2 lakh crores concessional credit will be given through Kisaan Credit Cards.
6. GOI will provide an interest subvention of 2% for prompt Mudra Shishu loan payees for a period of 12 months. The FM said, 'Relief of Rs 1500 crore will be given to Mudra Shishu loanees.'
7. Credit Linked Subsidy Scheme to be extended till 31/03/2021, the government said that this amounts for an investment of 70,000 crores. This will be a boost to the housing sector and the middle-income group.
8. To create job opportunities for the Tribal a Tribal Adivasi Plan with Rs 6000 crore will be implemented to push employment in the Tribal Sector.

Third Tranche of the Economic Relief package announced by the Finance Minister:

1. A new scheme has been launched for interest subvention @2% per annum to dairy cooperatives for 2020-21 aimed at unlocking Rs 5000 crores additional liquidity. This will be benefitting 2 crore farmers.
2. To help the Fisheries sector, operations of Marine Capture Fisheries and Aquaculture have been relaxed to cover Inland Fisheries.
3. In a move to strengthen infrastructure in agriculture, financing facility of Rs. 1 lakh crore will be provided for funding Agriculture Infrastructure Projects at farm-gate & aggregation points.
4. Aiming to implement PM's vision of ‘Vocal for Local with Global outreach’, a scheme will be launched to help 2 lakh Micro Food Enterprises; Improved health and safety standards, integration with retail markets and improved incomes to be key focus areas.
5. Government to launch Pradhan Mantri Matsya Sampada Yojana for integrated, sustainable, inclusive development of marine and inland fisheries to plug critical gaps in fisheries value chain; move will provide employment to over 55 lakh persons & double exports to Rs 1 lakh crore.
6. National Animal Disease Control Programme has been launched with total outlay of Rs. 13,343 crores for 100% vaccination of cattle, buffalo, sheep, goat and pig population in India.
7. The government announced an Animal Husbandry Infrastructure Development Fund worth Rs. 15,000 crore to support private investment in Dairy Processing, value addition and cattle feed infrastructure.
8. Government to implement a scheme for infrastructure development related to Beekeeping; aims to increase income for 2 lakh beekeepers with special thrust on capacity building of women.
9. Government to implement a scheme for infrastructure development related to Beekeeping; aims to increase income for 2 lakh beekeepers with special thrust on capacity building of women 
10. Government will amend Essential Commodities Act to enable better price realisation for farmers; Agriculture food stuffs including cereals, edible oils, oilseeds, pulses, onions and potato will be deregulated.