1. Term loan moratorium extended till August 31, 2020 – The loan moratorium will be extended till August 31, 2020. This makes it a six months moratorium.
2. Deferment of Interest on Working Capital – Interest on working capital is deferred by another 3 months i.e. till 31st August 2020.
3. Conversion of Interest on working capital to interest term loan – Lending institutions are being permitted to convert the accumulated interest on working capital facilities over the deferment period (up to August 31, 2020) into a funded interest term loan (Repayable before 31st March 2021).
3. The margin for Working Capital – Drawing Power – Lending institutions are being permitted to restore the margins for working capital to the original level by 31st March 2021.
4. Reduce the repo rate by 40 bps to 4 percent. Accordingly, the Interest rate would be reduced.
5. Export Credits – Maximum permissible export credit (Pre and Post Shipments) extended from 12 months to 15 months.
6. Payment against Imports – Extension of time limit for making payments against imports from 6 months to 12 months
7. Support to EXIM Bank – Facility of Rs 15,000 crore line of credit for 90 days for US dollar swap facility will be provided to EXIM Bank.
8. Extension of Resolution Timelines – Deferment or moratorium period shall be excluded while calculating 180 days resolution period.
9. Group Financing – Group exposure extended from 25% to 30%
10. Support to SIDBI- In order to provide greater flexibility of SIDBI, another 90 days extension for the 90-day term loan facilities will be offered.
11. Assets Classification – Loan Moratorium shall not have any implications on changes in assets classification, credit history, and aging norms, etc.
12.Trade Impact – Volume of world trade can shrink by 13%-32% this year.
Latest Updates:-
- Major GST Updates Effective April 2025 Onwards: Key Changes in Compliance, Registration, and Reporting
Major GST Updates Effective April 2025 Onwards: Key Changes in Compliance, Registration, and Reporting As India continues to strengthen its indirect tax framework, several important changes under the Goods and Services Tax (GST) regime have been introduced, effective from April 1, 2025, and beyond. These reforms are aimed at enhancing ease […]
- Tax Implications of ESOPs and RSUs for Employees
Tax Implications of ESOPs and RSUs for Employees Employee Stock Option Plans (ESOPs) and Restricted Stock Units (RSUs) have become increasingly popular as part of employee compensation packages, especially in multinational corporations and startups. These instruments are not just used to reward performance but are key tools in retaining talent. However, […]
- ITR Filing Deadline Extended: New Last Date is September 15
ITR Filing Deadline Extended: New Last Date is September 15 The deadline for filing income tax returns for FY 2024–25 (AY 2025–26) was moved from July 31 to September 15 by the Income Tax Department on Tuesday. “Considering the time needed for system readiness and the rollout of Income Tax Return (ITR) utilities […]
- ITR Portal Registration 2025: 8 Simple Steps to Register on the Income Tax e-Filing Portal
ITR Portal Registration 2025: 8 Simple Steps to Register on the Income Tax e-Filing Portal As the Income Tax Return (ITR) Filing Season 2025 draws near, it’s time for taxpayers—especially first-time filers—to get ready by registering on the official Income Tax e-Filing Portal. Designed as a Mission Mode Project under the National E-Governance […]
- Why Reconciling AIS and TIS is Crucial Before Filing ITR
Why Reconciling AIS and TIS is Crucial Before Filing ITR As Income Tax Return (ITR) season kicks off, many taxpayers are discovering two critical tools on the Income Tax portal — AIS (Annual Information Statement) and TIS (Taxpayer Information Summary). If you’re still relying only on Form 26AS to prepare your […]