ECONOMY by VIVEK SINGH

2021-03-28 07:18:01 Regarding the Digital Service Tax/ Equalization Levy, Please read the following two links and you will understand.
https://t.me/VivekSingh_Economy/2152
https://t.me/VivekSingh_Economy/2178

After reading the above two links please read the following:

The government in March 2021 decided not to levy 2% digital service tax if goods and services are sold through Indian arm of foreign e-commerce players.
The amendment to Finance Bill 2021 clarifies that offshore e-commerce platforms don’t have to pay 2% equalisation levy if they have permanent establishment or they pay any income tax here.
However, foreign companies who are not paying any tax will have to pay. Open / Comment

2021-03-28 07:04:06 Source: Indian Express

Non-Tariff Barriers: These are trade barriers that restrict the import or export of goods through means other than tariffs. The World Trade Organization (WTO) identifies various non-tariff barriers to trade, including import licensing, pre-shipment inspections, rules of origin, custom delayers, and other mechanisms that prevent or restrict trade.

There can be various barriers/restrictions for trade. One is called Quota barrier which means quantitative restrictions on trade, for example India declares that in one year only 1 MT of Steel can be imported. The other is Tariff barrier which is basically raising the import/customs duty. And the other is "non-tariff barrier"

Land Customs Stations/ Land Ports: The Land Custom Station (LCS) or Land Ports is a large facility providing transit, customs and immigration and cargo handling services for goods and passengers traveling between two countries.

There are total 39 Land Customs Station in the North East region. Of these, 32 Land Customs Stations are on India- Bangladesh Border in the North-East region, 3 Land Customs Stations are on India-Myanmar Border and 4 Land Customs Stations are on India-Bhutan Border.
The logistics division under Ministry of Commerce has proposed to take over the existing six inland customs ports (ICPs) run by the Land Ports Authority of India under the home ministry and 85 land custom stations run by the Central Board of Indirect Taxes & Customs. Open / Comment

2021-03-28 06:51:03 Open / Comment

2021-03-27 09:29:52 Nothing relevant in the newspapers today for Economy.
The ECO MCQ PDF will be released on 20th April 2020. I will retain all the good conceptual questions which I feel you must do again, some questions will be removed which now I feel not relevant and I am preparing more questions which will be added and the consolidated PDF will be released on 20th April 2021 in pdf form. Open / Comment

2021-03-26 06:14:50 Source: PIB
There has been a lot of focus on Jute Industry, so just look at the underlined information. No need to go into the various schemes.

For more details on Jute, refer the following link: https://t.me/VivekSingh_Economy/2636 Open / Comment

2021-03-25 06:35:28 From the above poll, 20% of the total number of people voted i.e. 2535 have qualified for the Mains 2020 which means approx. 500 students will be appearing for Interview. I will conduct one class on Economic Issues (mostly view based issues) in Delhi and the same will be put online also. The tentative date would be between 5th to 15th April. Will let you know on this channel once the date is confirmed.

Nothing relevant in the newspapers today for Economy. Open / Comment

2021-03-24 06:59:27 The above news is from Indian Express. Some relevant points.

1) The IBC 2016 was suspended from 25th March 2020 to 24th March 2021 (for one year) due to Covid-19 pandemic. This meant that no one can move to NCLT under IBC 2016 if the default has occurred due to Covid-19 related issues.

2) The threshold limit was also increased from Rs. 1 lakh to Rs. 1 crore and this is going to continue. This means that if the default in the debt is of more than Rs. 1 crore then only anyone can approach to NCLT under IBC 2016.

3) Pre-pack: Point No. 2 https://t.me/VivekSingh_Economy/2873 Open / Comment

2021-03-24 06:53:44 Open / Comment

2021-03-24 06:49:49 Employees' Provident Fund Organization (EPFO) is a statutory body established by the Employees' Provident Fund and Miscellaneous Provisions Act, 1952 and is under the administrative control of the Ministry of Labour and Employment, Govt. of India. It is one of the World’s largest Social Security Organizations in terms of clientele and the volume of financial transactions undertaken

Employees Provident Fund [EPF] is a scheme under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 and is regulated under the purview of Employees’ Provident Fund Organisation (EPFO). Basically, EPF is normally like a benefit to an employee during the retirement provided by the organization.

EPF registration is mandatory for all establishments which is a factory (service industry is also covered) engaged in an industry having 20 or more persons. An employee working in an organization contributes 12% of his/her basic salary into this scheme and generally the same amount is also contributed by the employer. The interest income is tax free under this scheme. Now, people whose salary was huge were contributing more money (in absolute terms) and were getting benefits in terms of TAX free interest income. So, as per today's news Govt. has introduced amendment through Finance Bill 2021 and it has put a cap that if the employee is contributing till Rs. 2.5 lakhs annually in the scheme then only the interest income will be tax free otherwise not. And in case there is no employer contribution then the interest income will be tax free till Rs. 5 lakhs contribution.

The EPF Interest Rate is determined by EPFO in consultation with the Finance Ministry for every financial year.
No need to go in further detail regarding this news. Its covered in HINDU/EXPRESS both. Open / Comment