• So far, COVID -19 pandemic has infected 5.31 lakh humans and has snatched 24,000 lives worldwide
  • India is at high risk with 1.3 billion population with no cure to this infection yet, with the GOI and State Govts trying relentlessly to contain it to Phase II
  • Drastic measures of complete lockdown have been taken for containment which will definitely have a strong impact on the economy for at least next six months assuming successful containment of the virus
  • In view of this, it was expected that GOI along with life saving measures, roll out economic measures to comfort its citizens and businesses
  • Accordingly, the Finance Ministry and the RBI have made certain announcements to combat the financial impact of COVID – 19. This document summarizes these economic measures taken as of 27th March,2020.



  • FY 18-19 last date for IT return filing extended to 30th June, 2020
  • Aadhaar – PAN Linking extended to 30th June, 2020
  • 10% penalty deferred for payments upto 30th June, 2020 for Vivad se Vishwas scheme
  • All compliance dates under Income Tax Act, Wealth Tax Act, Prohibition of Benami Property Transaction Act, Black Money Act, STT law, CTT Law, Equalization Levy law, Vivad Se Vishwas law moved to 30th June, 2020
  • Delayed payments between 20th March 2020 and 30 June 2020 of Advance tax, SA tax, regular Tax, TDS, TCS, equalization levy, STT, CTT upto 30th June to attract 9% interest instead of 12%/18% wherever applicable with no late fee / penalty  


  • Date for filing GSTR 3B for Mar’20-May’20 to be 30th June, 2020 with 0% interest for business with turnover upto Rs 5 Cr and 9% interest computed from 15 days post the original due dates for the above months for businesses with turnover above Rs 5 Cr. No late fee / penalty to be charged in both cases upto 30th June, 2020
  • Date for opting for composition scheme, payment of GST for Q.E 31st March,2020 and filing of return for FY 2019-20 extended to last week of Jun’20
  • Annual Returns for FY 2018-19 to be filled upto 30th June, 2020
  • All compliance dates under the GST acts between 20th March 2020 and 29th June 2020 moved to 30th June, 2020   


  • 3 months relaxation
  • Debit cardholders to withdraw cash for free from any other banks’ ATM
  • Waiver of minimum balance fee
  • Reduced bank charges for digital trade transactions for all trade finance consumers


  • No additional fees for late filing during a moratorium period from 01st April to 30th September 2020, in respect of any document, return, statement etc., required to be filed in the MCA-21 Registry, irrespective of its due date
  • The mandatory requirement of holding meetings of the Board of the companies within prescribed interval provided in the Companies Act, 2013, shall be 180 days till next two quarters i.e., till 30th September,2020
  • CARO 2020 shall be applicable from FY 2020-21 instead of FY 19-20
  • Not a violation for FY 2019-20 if independent director has not held one meeting in the absence of Non Independent directors and management.

  • Creation of Deposit Reserve for deposits maturing during FY 2020-21extended to 30th June, 2020
  • Investing 15% of maturing debentures in specified instruments extended to 30th June, 2020
  • Newly incorporated companies to file business commencement declaration within 1 year instead of 6 months
  • Waiver for requirement of residency in India for at least 182 days for at least one director u/s 149 of the companies act
  • Default threshold under Insolvency & Bankruptcy Code, 2016 enhanced to Rs 1 Crore form Rs 1 Lakh    


  • Insurance cover of Rs 50 Lakh per health worker fighting COVID19 to be provided under Insurance Scheme
  • 80 crore poor people will to get 5 kg wheat or rice and 1 kg of preferred pulses for free every month for the next three months
  • 20 crore women Jan Dhan account holders to get Rs 500 per month for next three months
  • Increase in MNREGA wage to Rs 202 a day from Rs 182 
  • An exgratia of Rs 1,000 to poor senior citizens, poor widows and poor disabled
  • Government to frontload Rs 2,000 paid to farmers in first week of April
  • GOI to fund PF EE & ER contributions for the next three months for companies having 100 workers or less and employees who draw wages upto Rs 15,000 per month
  • Pandemic as a reason to be inserted in PF rules to allow withdrawals upto 75% of the amount or 3 months wages, whichever is lower 

RBI Announcements

  • Repo rate reduced by 75bps to 4.4%
  • Reverse repo rate reduced by 90bps to 4%
  • Auctions of Term repos worth Rs 1 Lakh Crore for liquidity enhancement

  • CRR cut by 100bps to 3% with minimum daily CRR maintenance of 80%, to release primary liquidity of Rs 1.37L crore
  • Marginal standing facility increased to 3% of SLR to make another Rs 1.37L crore available for banks
  • Commercial Banks, Co-op Banks, Financial Institutions and NBFCs are allowed to extend 3 month moratorium for Term Loan EMIs
  • All lending institutions are allowed to defer interest collection on working capital facilities for 3 months (o/s as on 1st Mar’20)
  • Banks can recalculate drawing power w.r.t. Working Capital facilities by margin reduction / reassessing WC cycle
  • Implementation of Net Stable Funding Ratio (NSFR) to be deferred to 1st Oct, 2020

Last tranche of Capital Conservation Buffer (CCB) deferred to 30th Sept,2020