The Growth and Development of a nation does not lie in its big companies and its big billionaires. It is dependent on its small companies and their small businesses. Our India has huge number of small businesses, both running formally and informally. The introduction of GST has got many informal ones under the formal category. That was a great move made by the government. The Government Of India (GOI) has now made a new announcement, which is as follows.
Businesses Benefitted :
The launch of a new portal for the Micro, Small and Medium Enterprises (MSME’s) to avail a credit up to an amount of Rs. 1 Cr is seen to be successful. This is a great boost to the struggling MSME’s. Our small businesses often face lot of hurdles while hustling for growth. They are our hidden strength, and if their path is cleared of hurdles, we can unlock immense potential.
The credibility of the finances of all the MSME’s registered under the GST has been increased. They get an additional offer of having a Tax Rebate. This can also be accessed through the GST Portal. So far the pilot plan was given a target of 72,000 MSME’s, and we managed to get 72,680 MSME’s under it. Their loans are worth over Rs.23,852.
“Diwali Gifts” :
In addition to the easy returns after the loans, the government also made rules for the big 500 crore companies and all the public sector undertakings to buy 25% of their inputs from MSME’s. The earlier percentage was 20%. Women led firms are allotted a fixed 3%.
The above policy is followed by a Rs.6,000 Cr allocation, to put up hubs and technological centres for these MSME’s is on the move. This shows that the financial and returns path has been laid out. But what about the tiring and the time taking allotment procedures? The answer for this is the One Annual Return filed in a year covering all the Eight Labour Laws. The validation of the file will start in hours after filing and the report will be given within 48 hours of time.
Other ‘Patakas’ this Diwali :
- All the enterprises who wants to obtain the goods must do so through the Government’s e-Marketplace portal.
- Pharmaceutical MSME’s get a separate gateway leading them directly to the customers.
- The process of getting oneself an “Environmental Clearance Certificate” is now made much simple. (The certificate is given under the norms of Air and Water Act)
- Ombudsmen to review faults and to penalise culprits is now internally incorporated. Any minor corrections and penalties are handled within the portal itself. Looks like they are celebrating an Early Diwali !!!