Daily Current Affairs for UPSC Civil Services Exam – 06 September 2020

Daily Current Affairs for UPSC Civil Services Exam – 06 September 2020

In Today’s News:

  1. SPICe+
  2. GST Compensation to States.

1. SPICe+

News Summary

It is a piece of advertisement/public notice in the newspaper today but a very important scheme.

Prelims GS – Economic Development

SPICe+:
  • SPICe+ is an integrated Web form offering 10 services by 3 Central Govt Ministries & Departments. (Ministry of Corporate Affairs, Ministry of Labour & Department of Revenue in the Ministry of Finance) and One State Government (Maharashtra), thereby saving as many procedures, time, and cost for Starting a Business in India.
  • SPICe+ is part of various initiatives and commitments of the Government of India towards Ease of Doing Business (EODB).
  • SPICE+ has two parts:
  • Part A of SPICe+ provides for the Name Reservation for new companies.
  • Part B of SPICe+ offers the following services viz.
    • (i) Incorporation
    • (ii) DIN allotment
    • (iii) Mandatory issue of PAN
    • (iv) Mandatory issue of TAN
    • (v) Mandatory issue of EPFO registration
    • (vi) Mandatory issue of ESIC registration
    • (vii) Mandatory issue of Profession Tax registration(Maharashtra)
    • (viii) Mandatory Opening of Bank Account for the Company and
    • (ix) Allotment of GSTIN (if so applied for).
  • Registration for EPFO and ESIC shall be mandatory for all new companies incorporated w.e.f 23rd February 2020 and no EPFO & ESIC registration nos. shall be separately issued by the respective agencies.
  • All new companies incorporated through SPICe+ (w.e.f 23rd February 2020) would also be mandatorily required to apply for opening the company’s Bank account through the AGILE-PRO linked web form.

Click here to view more about SPICE+

2. GST Compensation to States

News Summary

THE 41st GST Council meeting was held recently and the main focus of the meeting was to devise a solution for the compensation to be made to the states as part of the implementation of the GST.

Prelims GS – Economic Development

GST:

Click here to view about GST and GST Council on 13th June 2020.

GST Compensation:
  • As per the 101st Amendment Act 2016, “Parliament shall, by law, on the recommendation of the Goods and Services Tax Council, provide for compensation to the States for loss of revenue arising on account of implementation of the goods and services tax for a period of five years.” Here five years refer from 2017-2022.
  • Based on this, the Parliament has enacted a law called “The GOODS AND SERVICES TAX (COMPENSATION TO STATES) ACT, 2017”.
  • A cess would be imposed on “demerit” goods to raise resources for providing compensation to States as States may lose revenue owing to the implementation of GST.

For more detailed information on Compensation Act, 2017, click here to view the official pdf.

 

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