FM Pushes the System to be More Favorable for 'Ease of Doing Biz' with Better Taxation

In its bid to improve India's ranking in the World Bank's report on 'Ease of Doing Business', the Ministry of Finance, govt. of India announced several measures, including an eBiz portal being made mandatory for starting a business, to be implemented by January 2017.

NEW DELHI: "eBiz portal shall be mandated for starting a business which shall include three services of Ministry of Corporate Affairs, registration for PAN (Permanent Account Number) and TAN (Tax Deduction and Collection Account Number) and also for EPFO (Employees Provident Fund Organisation) and ESIC (Employees' State Insurance Corporation)," the Finance Ministry said in a statement in New Delhi.

The decisions were taken at a meeting held here on Monday under the chairmanship of Finance Minister Arun Jaitley.

"Nodal Departments have been identified for each indicator who will lead the reform process ensuring country's improvement in ranking across the 10 indicators. The departments gave a brief overview of the reforms undertaken recently and agreed to implement the suggested reforms by January, 2017," the statement said.

The other major decisions taken at the meeting were:

- Ministry of Corporate Affairs, Central Bureau of Direct Taxes and Ministry of Labour and Employment will work towards reducing the number of procedures for starting a business to four days and the number of days to start a business also to four;

- Shram Suvidha Portal shall be the only portal for filing returns, challan and making online payment for EPFO and ESIC contributions as well as other filings and payments;

- Department of Revenue and Ministry of Shipping shall work towards increasing the number of direct delivery consignments to 40 per cent by end of this month. The departments shall also ensure that the cost and time to export and import gets reduced substantially to bring India within top-50 ranks;

- Ministry of Corporate Affairs shall work with the concerned stakeholders so that the provisions recently enabled under Insolvency and Bankruptcy Code are implemented through National Company Law Tribunal (NCLT);

- To further improve the country's rank in the indicator ‘getting credit', Department of Financial Services and Ministry of Corporate Affairs shall work towards creating a single registry of assets;

- The initiative of eCourts should be expedited for electronic filing of complaints, summons and payments, especially in the commercial courts; and

- On ‘construction permit', the procedures shall be brought down to eight which will be completed within 60 days.

Jaitley said the possibility should be explored of commencing the construction on architect's certification and approval being granted only at the time of the occupancy of the building.