What is the difference between FITL and WCTL?
(The following post explains the difference between Funded Interest Term Loan (FITL) and Working Capital Term Loan (WCTL) What is FITL? Funded Interest Term Loan in a short form known as FITL. When the manufacturing units face severe financial crises, not able to meet their loan obligations, banks extend the FITL facility to such units…
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Loans to Stressed MSMEs: Is guarantee comes from GGTMSE instead of a sovereign guarantee?
According to news reports, Bankers are unhappy to learn that the newly envisaged Rs.20000 crore loan guarantee scheme for micro, small and medium enterprises (MSMEs) will not be available from the Government of India as expected but from the credit guarantee trust fund for micro and small enterprises (CGTMSE). CGTMSE guarantee has its caveats, it…
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25% reduced TDS & TCS from May 14: Who are eligible and who are not?
The Central Board of Income Tax on Wednesday (May 13) Vide circular Number 280/2020 dated 13-04-2020, ordered a 25% reduction in the rate of income tax deducted at source (TDS) and tax collection at source (TCS) from 14 May to 31 March to provide more money in the hands of taxpayers. This reduced rate of…
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Government announces several packages to handle COVID 19 crisis
Today (May 13, 2020), Finance Minister Nirmala Sitharaman announced the extension of due date for all income tax returns to November 30. While addressing the press she made several announcements. The highlights of the announcements are as under. The due date for all income tax returns extended up to November 30 Statutory PF contribution is…
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Kisan Credit Card (KCC) scheme for farmers,animal-husbandary and fisheries
Kisan Credit Accounts are normally short term crop loans emerged as an innovative credit delivery mechanism to meet the production credit requirements of the farmers in a timely and hassle-free manner. The repayment period may be fixed as per the anticipated harvesting and marketing period for the crops for which a loan has been granted. …
RBI releases FAQs on Cash withdrawal from POS terminals
RBI on Tuesday (May 5, 2020) issued FAQs on cash withdrawal from Point of sale (POS) terminals with the following information for general guidance purposes. The cash withdrawal facility at POS terminal is made available at merchant establishments designated by the acquirer banks (i.e. the banks that deploy the PoS terminals) after a process of…
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