The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi has approved anAgreement between the Republic of India and Saint Vincent and The Grenadines for the Exchange of Information and Assistance in Collection with respect to Taxes. Details of the Agreement: i) This is a new Agreement between the Republic of India and Saint Vincent and The Grenadines. There was no such agreement in past between the two countries. ii) Agreement mainly proposes to facilitate exchange of information between the two countries and to provide assistance to each other in collection of tax claims. iii) Agreement also contains tax examination abroad provisions which provide that a country may allow the representatives of the other country to enter its territory (to the extent permitted under its domestic laws) to interview individuals and examine records for tax purposes. Impact: Agreement between the Republic of India and Saint Vincent and The Grenadines will help in facilitating the exchange of information between the two countries including sharing of information held by the banks and other financial institutions encompassing the information regarding the legal and beneficial ownership. It will also facilitate the assistance in collection of the tax claims between the two countries. Thus, it will strengthen India’s commitment to fight offshore tax evasion and tax avoidance practices leading to generation of unaccounted black money. Background: There was no such agreement with Saint Vincent and The Grenadines in the past and India was negotiating this agreement since a long time. Finally, Saint Vincent and The Grenadines agreed to conclude this agreement with India which will promote tax cooperation between the two countries through exchange of information and assistance in collection of outstanding tax claims between the two countries.
The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi has approved allocation of additional foodgrain under Pradhan Mantri Garib Kalyan Yojana (Phase IV) – for another period of 5 months i.e. July to November, 2021 @ 5 kg per person per month free of cost for maximum 81.35 Crore beneficiaries covered under National Food Security Act (NFSA) (Antyodaya Anna Yojana and Priority Households) including those covered under Direct Benefit Transfer (DBT).
The sanction of the additional food-grain free of cost to a maximum of 81.35 crore individuals under TPDS @ 5 kg per person per month for five months would entail an estimated food subsidy of Rs.64,031 crore. As Government of India is bearing the entire expenditure towards this Scheme without any contribution by States/UTs, an additional expenditure of about Rs.3,234.85 crore would be required to be met towards transportation and handling and FPS dealers’ margins etc. by Government of India. Thus, the total estimated expenditure to be borne by Government of India will be Rs.67,266.44 crore.
The allocation in terms of wheat/rice shall be decided by the Department of Food & Public Distribution. Also, the Department of Food and Public Distribution may decide on the extension of the lifting/distribution period under Phase III and Phase IV of PMGKAY as per operational requirements, arising out of adverse weather conditions like monsoon, snowfall, etc. and supply chain and Covid-induced constraints.
The total outgo in terms of foodgrains may be approximately 204 LMT.Additional allocation will ameliorate the hardships faced by poor due to economic disruption caused by Corona Virus. No poor family will suffer on account of non-availability of food-grains due to disruption in the next five months.
