In view of the coronavirus pandemic crisis, the IT department has decided to release IT refunds up to Rs 5 lakh
Bengaluru: In what appears to be good news to taxpayers, the IT department has decided to release IT refunds up to Rs 5 lakh.
"In the context of the COVID-19 situation and with a view to providing immediate relief to the business entities and individuals, it has been decided to issue all the pending income-tax refunds up to Rs 5 lakh, immediately, the ministry of finance said in a release.
Republic TV added that the decision has been taken keeping in mind the current economic fallout and how it would benefit around 14 lakh taxpayers amid the COVID-19 crisis. Moreover, the Ministry of Finance has also decided to issue all pending GST and Custom refunds which would provide benefit to around 1 lakh business entities, including MSMEs. Thus, the total refund granted will be approximately Rs 18,000 crore.
In addition to this, the Indian government is also mulling to release a second financial package worth more than Rs 1.7 lakh crore.
This package would also address the demand and supply issues that are plaguing the nation.
However, there is no clear information on when this package would be doled out.
Sources add that the package would be much bigger than the Rs 1,70,000 crore worth of schemes announced by finance minister Nirmala Sitharaman.
A popular website added officials as saying, "The finance ministry is regularly interacting with various economic ministries and getting inputs from them over measures that would be required to give stimulus to the economy in this difficult period. These could be further discussed to finalise a concrete plan once the situation of lockdown becomes a bit clearer. In a lockdown many of the measures that the government announced may not yield desired results.”
The website also added that this package would focus on concerns of India Inc. and the SME segments, and in particular a relief package for the travel and aviation sectors bearing the maximum brunt of present lockdown. Also, demand side measures could look at tax breaks for taxpayers and relief from duty on major items of consumption.
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Last Updated 9, Apr 2020, 4:12 PM