Covid-19: Govt announces second relief package to revive economy
Stamp duty on fresh loans waived, amnesty scheme/filing of GST returns extended
SRINAGAR: To tackle the slowdown of economy due to COVID-19 pandemic, the Administrative Council (AC) which met here under the chairmanship of Lieutenant Governor, G C Murmu, approved a relief package to revive the economy.
Earlier, the Union Government rolled out a 20 lakh crore package under the umbrella of ‘Atmanirbhar Bharat Abhiyan’, sharply focusing MSMEs, priority sectors and vulnerable segments. However, the Jammu and Kashmir Government felt a need to consider similar hand holding measures for sectors/borrowers not covered under the Central Government package.
In order to clear the backlog of sales tax/VAT arrears under the relief package, the Amnesty scheme has been extended upto 31st, October, 2020. Whereas, the date of filing of re-imbursement claims (GST returns/claims) for the period from January to March, 2020 has been extended to 15th October, 2020 and for the period April to June, 2020 to 15th November, 2020.
In a normal course, the Industrial units claiming GST re-imbursement on supply of goods during inter-state movement were required to get the relevant electronic way bills stamped and verified by the consignee. However, considering the issues due to COVID-19 pandemic, self attestation of claimants has been enabled and scanned copies of such documents verified by the consignee and attested by the claimants with a post dated cheque shall be accepted for re-imbursement for a period of 6 months.
To enable smooth transition out of the pandemic driven economic shock, under the relief package, the surcharge leviable on the fixed charges of all the industrial/commercial establishments in J&K for the period 31st March, 2020 to 31st October, 2020 shall be borne by the government.
Stamp duty on fresh lending under the GoI’s/ J&K Government’s package shall also be waived off under the relief package so that the cost of lending is reduced.
Moreover, the Administrative Council directed Finance Department to come up with a proposal for interest subvention for currently operating establishments, in consultation with Industries & Commerce Department. Industries Department was also directed to implement the policy of preference for local manufacturers in procurement through an appropriate mechanism.
The AC also approved the roll out of Excise Policy for the year 2020-21 and implementation of policy measures to improve transparency and objectivity related to renewal, cancellation, transfer of licenses and penalties.
The new policy aims to rationalize the number of taxes, duties and other levies to optimize revenues for common good, and bring about greater social consciousness about the harmful effects of consumption of liquor and alcoholic beverages.
The policy envisages checking bootlegging of Bottled in Origin (BiO) brands from neighbouring states, besides providing choice of brands and a level playing field to those in the business.
Under this year’s policy, the Department has specified fixed number of licenses/ licensed zones for Ex-servicemen, specially-abled persons, SC/ST/OBC and people belonging to economically weaker sections as per the criteria to be notified separately.
Further, the License Fee structure has also been revisited in the Draft Policy. A fixed component of ‘Annual License Fee’ has also been introduced, whereas, the existing per bottle license fee has been revised on higher side as ‘Additional License Fee’.
The Excise Policy for the year 2019-20 was extended till June, 2020 in the wake of COVID-19 pandemic and now stands expired.
