Deadline for final settlement of LTC cash package scheme increased, now bills will be able to be deposited by May 31

The government has extended the deadline for its employees to take advantage of the LTC Special Cash Package Scheme. Now employees can submit the bill till May 31 to take advantage of it. Earlier, the last date for this scheme was 30 April. The government has decided to extend the last date in view of the increasing cases of infection under the second wave of Corona. However, the scheduled date of making purchases for this scheme has not been changed on 31 March 2021.

Government’s objective was to increase consumption

Increasing the deadline to avail LTC Special Cash Package Scheme by the government will help those employees who wanted to take advantage of this scheme but could not submit the bill for this within the stipulated time frame. Last year, the central government announced a special package for its employees in lieu of leave travel concession (LTC). Its purpose was to promote consumption on behalf of government employees and its benefits could be availed by 31 March this year. In LTC Cash Voucher Scheme, there was a provision for giving advance to government employees in lieu of LTC rent and leave encashment.

The government’s aim was that through this scheme, consumption will increase through purchase and this will accelerate the economy. Through this, he tried to encourage shopping. The purchase of goods could have been done in the name of spouse of the government employee or any member of the family eligible for LTC fare. Under this, there was a provision to approve more than one bill. The purchase could be made till March 31 this year after the order of the scheme was issued last year. In this, the purchase of such items, which had a GST of 12 per cent or more, was approved. For this, payment should also be through online medium.

Steps were taken to bring the economy back on track

After the first wave of Corona infection last year, after the shock of the economy, the government had taken several steps to get it back on track. Among these were the announcement of relief loans for the corporate sector, from the giving of cheap loans to MSMEs and the relief package for the real-estate sector. The government’s objective was to accelerate demand and consumption. Therefore, it was decided to give LTC cash vouchers to government employees.

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