Subject: Economy Context: Reduced GST revenues due to pandemic  has translated into delayed and pending compensation payments to states by the centre. Concept: Compensation cess was introduced as relief for States for the loss of revenues arising from the implementation of GST. States, in lieu of giving up their powers to collect taxes on goods […]

Subject: Economy Context: Government’s waiver of Merchant discount rate (MDR) on certain payments will hamper payment innovations and growth says RBI constituted the Committee under the Chairmanship of D.B. Phatak. Concept: MDR is a fee charged from a merchant by a bank for accepting payments from customers through credit and debit cards in their establishments. […]

Subject: Economy Context: Income Tax Department has launched a revised Form 26AS or Annual Information Statement from this assessment year, which will reflect details of all high-value transactions. Concept: Form 26AS is a consolidated annual tax statement that includes information on tax deducted/collected at source, advance tax, self-assessment that is available on the Income Tax website against a […]

Subject: Economy Context: Stimulus package in pandemic hit economy Concept: The livelihood opportunities will come up in 116 districts spread over six states namely Bihar, Uttar Pradesh, Madhya Pradesh, Rajasthan, Jharkhand and Odisha who have received substantial numbers of migrants through the Common Service Centres and KrishiVigyanKendras This campaign of 125 days, which will work […]

Subject: Economy Context: A report by the State Bank of India has recommended direct monetisation as a possible way of funding the Centre’s deficit at lower rates, without increasing inflation and affecting debt sustainability. Concept: Monetising fiscal deficit means the RBI purchases government debt directly rather than the government borrowing from the markets by selling […]