Comments
The Software Technology Parks of India, in consultation with the Ministry of Communications & Information Technology, plans to provide incentives to micro, small and medium enterprises. Details of the scheme are being worked out and will be in place “soon”.
Similar incentives would also be provided to large companies who operate in tier-2 cities through STPIs, Omkar Rai, Director-General, STPI said on the sidelines of a seminar organised by the CII.
Nitty-gritties of the incentive scheme are being finalised, he added.
Following the sunset clause that saw withdrawal of direct tax benefits from April 2011, there have been a decline in registration of units under the STPI scheme.
While other indirect tax benefits like custom duty-back and refunds are on; the main draw for units was the direct tax relief.
"We have seen a decline in registration of units under the STPI scheme. The idea of these benefits is to ensure a level playing field for all," Rai said.
STPI had almost two years back appointed Deloitte as a consultant to look into possible incentive schemes.
Some of the suggestions include incentivizing MSMEs and other larger companies operating in tier-2 cities. Deloitte had submitted its report in 2012.
According to the Director General, the 4,000-odd smaller units operating under STPI scheme account for nearly 65 per cent of the country's IT exports.
"The policies are likely to be finalised soon," he said.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.