Union Finance Minister Nirmala Sitharaman has announced that all the pending GST refunds that are due to MSMEs till now will be executed within the period of 30 days. Sitharaman made the announcement during a press conference in New Delhi on the current economic situation.
"All pending GST refunds due till now shall be paid within 30 days from today", said FM Sitharaman adding that, "In the future, all GST refunds shall be paid back to the industry within 60 days from the date of application."
Commenting on other reforms to bring in transparency and boosting the MSME sector, FM Sitharaman further added measures such as better credit flow to the MSME and online tracking of loan applications to help improve the turnaround time for customers.
Finance Minister Nirmala Sitharaman also declared amendment of the MSME Act, so as to ensure single definition for micro, small, medium enterprises under MSME Act.
Additionally, banks will issue improved (one-time settlement) OTS policy to help MSME and retail borrowers settle their overdues. This will help in increasing transparency, reduce harassment as well as assist in improving turn around time for customers, Sitharaman said.