Tripura act 1 of 2017 : The Scheme-2017

Department
  • Department of Directorate of Industries & Commerce
Enforcement Date

31 Mar 2017

Tri pura lndustrial Investment Promotion

lncentive Scheme laF

Government of Tripura Department cf lndustries & [ornmerce

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TAPAN (HAKRABORTI Minister

[ducation, lndustries & [ommerce,

lnformation TechnologY and Law

Government of TriPura

Agartala 799 006

Ph.03B1-241-3276 (0)

0381-241-3263 (Fax)

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The "Tripura lndusrrial lnvestment Promotion lncentives Scheme tTliPl5),

?A17," was formulated with the objective of promotion of industries based on

available raw materials, generation of more employment and welfare of workers'

History has shown that rapid economic development is made possible

through industrialization, when il is done through a planned approach' lndustrial

g,o*ih can play an important role rn creatton of employment oppofiunities and

economir development of the Stare utilizing easily available raw materials' The

scherne brought out by our Government is the lndustrial lncentive Policy, which

sr-iclvs the sincere effofis of the Government t0 enc0urage industries, entrepre-

ne" rship and employment.

I shall request all lndustry Associations, entrepreneurs and investors to

come forward and take the opportunities given in this scheme.

*i^+ * t*, *l^*$ Tapan (hakraborti

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TAPAN CHAKRABORTI Minister 7, Education, industries & Commerce, Information Technology and Law Government of itipura Agartaia « 799 006 Ph. 038l-24l—3276 (O) 038i~24i—3263 (Fax) yIQSSCZyQ The ”iripura industrial investment Promotion incentives Scheme iiiiPiS), 20i7,” was formulated with the objective of promotion of industries based on available raw materials, generation of more employment and welfare of workers. History has shown that rapid economic development is made possible through industrialization, when it is done through a planned approach. industrial growth can play an important role in creation of employment opportunities and economic development of the State utilizing easily available raw materials. The scheme brought out by our Government is the industrial incentive Policy, which shows the sincere efforts of the Government to encourage industries, entrepre— neurship and employment. i shall request all industry Associations, entrepreneurs and investors to come forward and take the opportunities given in this scheme. 71+ _ w may Tapan Chakraborti

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PRIN(IPAL 5E(RITARY

INDUSTRIES & (OMMERCE

6OVIRNMINT OT TRIPURA

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M. NAGARAJU,IAS

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It gives me immense pleasure t0 introduce new Tripura lndustrial lnvestment Promotion lncentive Scheme, 2017 tlllPlS) for next five f,nancial

years.

lndustries play a crucial role in the development 0f a country's economy.

All countries 0f the world are channelizing their resources to promote rapid indu$ria I ization for al leviati n g p roverty a nd i ncreasi n g em ployment.

The State Government has been welcoming all interested entrepreneurs

t0 set up lnduslries in our State and had taken several measures t0 ffeate conducive conditions t0 promote trade, business and entrepreneurship. The TIlPl5,

2017 is prepared keeping in view 0ur raw material resour(e base and priorities to

facilitate the entrepreneurship development in the State.

We, at Tripura, welcome etleryone to a truly investor-friendly environ-

ment and cordially invite all to consider setting up of projects in Tripura and it is

assured that the State Government will provide all necessary support to make your

vision possible.

PRlNClPAL SECRETARY M. NAGARAJU, lAS INDUSTRIES & COMMERCE GOVERNMENT OF TRlPURA Wéssaye it gives me immense pleasure to introduce new Tripura industrial investment Promotion incentive Scheme, 20i7 (TliPiS) for next five financial years. industries play a crucial role in the development of a country’s economy. All countries of the world are channelizing their resources to promote rapid industrialization for alleviating proverty and increasing employment. The State Government has been welcoming all interested entrepreneurs to set up industries in our State and had taken several measures to create conducive conditions to promote trade, business and entrepreneurship. The TllPiS, 20i7 is prepared keeping in view our raw material resource base and priorities to facilitate the entrepreneurship development in the State. We, at Tripura, welcome everyone to a truly investor—friendly environ~ ment and cordially invite all to consider setting up of projects in Tripura and it is assured that the State Government will provide all necessary supportto make your vision possible. (M. NAGARAJU)

2.

rXECl'Tlug 5I'MMAftY Gist of lncentives available under Tripura lndustrial

lnvestment Promotion lncentive scheme-Z01 i (TllPls)

1. capital lnvestment 5ubsidy @ 30% on fixed capital investrnent subject to a

ceiling of Rs.60 Lakhs per enterprises. For thrust sector industries, the rate of

sulrsidy shall be 40% and the ceiling would be Rs. T0lakhs per enterprise' For

tea processing unit set up under co-operative approach by SmallTea Growers,

the rate ofsubsidy shall be 5070 on fixed capital investrnents subject t0 an upper

ceiling of Rs. 100 lakhs.

Procurement Preference on all purchases through tenders by State Government

Agencies on products manufactured in Trlpura by eligible enterprises'This time

the procurement preferen(e shall also be available to local industrial enterprise(s)

whose quoted prices is within 15% of the price of lowest bldder from the State

(other than MSME units). This is in addition to the provision under scheme'

2012 to provide 15% procurement preference to local industrial enterprises in

comparison of lowest bidder from outside the State. ln case of more than one

local industrial enterprise quote rate nOt exceeding the 15% of price quoted by

lowest biddet the order shall be offered on equal distribution basis' This is

subject to the condition that the local unit agrees to supply by matching

the prlce offered by the first lowest bidder. The benefit available is further

subject t0 20% value addition in ihe State and tertain other conditions'

S.lndustrialPromotionSubsidyequaltothenetamOunt(netof

inputtaxes) ofthe "6oods and servicesTax" actually paid by an enterprise

subject to an overall ceiling of Rs.60 lakhs per annum' The aggregating

limit of entitlement of an enterprise for 5 years shail not exceed 100%

value of investment made in plant and machinery

4.PartialHeimbursementofPowerChargest0theextentaf25o/o

ofthepowerchargesactuallypaidbytheenterprise'subjecttoanupper

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EXECUTIVE SUMMARY Gist of incentives available underTripura Industrial investment Promotion incentive Scheme-2017 (TllPiS) 1. Capital Investment Subsidy @ 30% on fixed capital investment subject to a ceiling of R560 Lakhs per enterprises. For thrust sector industries, the rate of subsidy shall be 40% and the ceiling would be Rs. 70 lakhs per enterprise. For tea processing unit set up under co—operative approach by Small Tea Growers, the rate of subsidy shall be 50% on fixed capital investments subject to an upper ceiling of Rs. 100 lakhs. 2. Procurement Preference on all purchases through tenders by State Government Agencies on products manufactured in Tripura by eligible enterprisesThis time the procurement preference shall also be available to local industrial enterprisels) whose quoted prices is within l5% of the price of lowest bidder from the State (other than MSME units). This is in addition to the provision under Scheme, 20l2 to provide i5% procurement preference to local industrial enterprises in comparison of lowest bidder from outside the State. in case of more than one local industrial enterprise quote rate not exceeding the l50/o of price quoted by lowest bidder, the order shall be offered on equal distribution basis. This is subject to the condition that the local unit agrees to supply by matching the price offered by the first lowest bidder. The benefit available is further subject to 20% value addition in the State and certain other conditions. 3. industrial Promotion Subsidy equal to the net amount (net of input taxes) of the ”Goods and Services Tax” actually paid by an enterprise subject to an overall ceiling of Rs.60 lakhs per annum.The aggregating limit of entitlement of an enterprise for 5 years shall not exceed i00% value of investment made in plant and machinery. 4. Partial Reimbursement of Power Charges to the extent of 25% of the power charges actually paid by the enterprise, subject to an upper

5.

6.

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9.

ceiling of Rs.12 lakhs per enterprise per year. The incentive shall be given t0 an

eligible enterprise for 5 years from the date of commercial production.

Partial Reimbursement of lnterest on Working Capital Loans actually paid

to banksi financial insiitutions to the extent of 470 of the working capital loan

availed by the enterprise, subject t0 an upper ceiling of Rs.3.00 lakhs per annurn.

The incentive shall be given to an eligible enterprise for 5 years from the date

of cornmercial production.

Reimbursement of Standard Certification charges/ fees/ expenses t0

eligible enterprises shall be paid one+ime in full for standard certifications in

10 selected areas issued by National and lnter-national Bodies'

10070 Exemption from the payment of Earnest Money and Security Deposits

to all eligible local enterprises on tenders floated by State Government Agencies.

tmployment Cost Subsidy shall be paid to MSME units under thrust sector

on expenditure made towards EPF and ESI contribution for a period of 5 years

0n employment of 20 0r m0re pers0ns domicile of the State.

Subsidy on fees paid for (redit Guarantee of loans shall be paid to mtcro

and small enterprises on loans granted by Banks/ NBFCs.

10. txport Promotion Subsidy shall be paid to industrial enterprises under thrust

sector on exp0rting goods through the Land Custom Stations in the

State @ 1070 on value ofexport subject t0 an upper ceiling of Rs'

20 lakhs per annum.

11. Subsidy for participation in fares and exhibitions shall be paid

t0 thrust sector industries @ 50% of the expenditure incurred for

travelling expenses ofone person and transpgrtation ofgoods subject

t0 an upper ceiling of Rs. 50,000/- for each participation. This is

further subject to maximum 2 particlpatlons in a year for a unit.

l2.Special lncentives to lndustrial Enterprises continue

to operate for 5 years are provided for a further period of 5

years which are as follows:

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10. 11. 12.Special Incentives to Industrial Enterprises continue ceiling of RsiZ lakhs per enterprise per year. The incentive shall be given to an eligible enterprise for 5 years from the date of commercial production. Partial Reimbursement of interest on Working Capital Loans actually paid to banks/ financial institutions to the extent of 4% of the working capital loan availed by the enterprise, subject to an upper ceiling of R5300 lakhs per annum. The incentive shall be given to an eligible enterprise for 5 years from the date of commercial production. Reimbursement of Standard Certification charges/ fees/ expenses to eligible enterprises shall be paid one—time in full for standard certifications in i0 selected areas issued by National and inter—national Bodies. 100% Exemption from the payment of Earnest Money and Security Deposits to all eligible local enterprises on tenders floated by State Government Agencies. Employment Cost Subsidy shall be paid to MSlVlE units under thrust sector on expenditure made towards EPF and ESl contribution for a period of 5 years on employment of 20 or more persons domicile of the State. Subsidy on fees paid for Credit Guarantee of loans shall be paid to micro and small enterprises on loans granted by Banks/ NBECs. Export Promotion Subsidy shall be paid to industrial enterprises under thrust sector on exporting goods through the Land Custom Stations in the State @ i0% on value of export subject to an upper ceiling of Rs. 20 lakhs per annum. Subsidy for participation in fares and exhibitions shall be paid to thrust sector industries @ 50% of the expenditure incurred for travelling expenses of one person and transportation ofgoods subject to an upper ceiling of Rs. 50,000/— for each participation. This is further subject to maximum 2 participations in a yearfor a unit. to operate for 5 years are provided for a further period ofS years which are as follows:

a) (apital lnvestment Subsidy shall be provided to industrial enterprises

on substantial expansion at the applicable rates $Ao/o or 3070) on fixed

capital investments subject t0 an upper ceiling of Rs.30 lakhs and Rs. 25

lakhs for thrust sect0r and other than thrust sector respectively'

lndustrial Promotion 5ubsidy shall be provided to enterprises @ 250/o

ofGoods and servicesTax (net ofinputtax) actually paid after 5 years of

0perati0n with a condition that the aggregating subsidy amount paid

since commissioning ofthe prolectshall not exceed the 10070 of investment

in plant and machinerY.

Partial Re-imbursement of Power charges shall be paid to lndustrial

enterprises @|Sa/oof actual power charges paid after 5 years of operation

withanannualupperceilingofRs'6lakhsforemploymentintherange

of 20 to 50 persons Rs. 9.00 lakhs for employment in the range of 5i to

100 persons and Rs. l2lakhsfor employment of morethan 100 perso{]s.

EmploymentcostSubsidyshallbepaidtoMSMEenterpriseswith

employment of 20 or more pers0ns @ 50% of employer contribution paid

towards IPF and [Sl after 5 years of operation'

wages Subsidy shall be provided t0 industrial enterprises on employment

of 20 or m0re person s @ )}a/a of actual wages paid subiect t0 an upper

ceiling of Rs. 2.50 lakhs Pet Year.

b)

e)

Capital investment Subsidy shall be provided to industrial enterprises on substantial expansion at the applicable rates (40% or 30%) on fixed capital investments subject to an upper ceiling of R530 lakhs and Rs. 25 lakhs for thrust sector and other than thrust sector respectively. Industrial Promotion Subsidy shall be provided to enterprises @ 25% of Goods and Services Tax (net of input tax) actually paid after 5 years of operation with a condition that the aggregating subsidy amount paid since commissioning of the project shall not exceed the 100% of investment in plant and machinery. Partial Re—imbursement of Power charges shall be paid to industrial enterprises @i5% of actual power charges paid after 5 years of operation with an annual upper ceiling of Rs. 6 lakhs for employment in the range of 20 to 50 persons Rs. 9.00 lakhs for employment in the range of St to i00 persons and Rs. 12 lakhs for employment of more than i00 persons. Employment cost Subsidy shall be paid to MSME enterprises with employment of 20 or more persons @ 50% of employer contribution paid towards EPF and ESl after 5 years of operation. Wages Subsidy shall be provided to industrial enterprises on employment of 20 or more persons @ 20% of actual wages paid subject to an upper ceiling of Rs. 2.50 lakhs per year.

1.

Tripura lndustrial lnvestment Promotion I ncentives Schem e, 2017

Short title

The Scheme shall be called theTripura lndustrial lnvestment Promotion lncentives

Scheme, 2017 (hereafter referred to as "Srheme-2017") for industrial enterprises

(hereafter referred t0 as "enterprises") to be sel up in the State ofTripura.

Commencement and Duration

Unless specifically mentioned against the respective items of incentives

sanctioned under Schem e-)017 , it shall come into eflect from the first day of

April, 2017 in the whole of Tripura and shall remain in force for a period of five

years ending on the thirty-first day of March, 2022.

Provided that wherever an incentive is being allowed to an enterprise for a specified

period reckoned from the date of commencement of commercial production of the

enterprise or any other prescribed date, such benefit will continue to be available

till the expiry of the specified period for that particular enterprise, even beyond

the thirty-first day of March ,2017 .

3. Definitions ln 5cheme-2017, unless the r0ntext otherwise requires:

(i) 'Authorized Agent" means the Directorate of lndustries and [ommerce and/orTlDC or an agent speclfically authorized by the

State Government, for operation of the Scheme-2017. (ii) "Central Government" means Government of lndia.

(iii) "Designated Authority" means an authority designated

for a particular purpose.

(iv) "[nterprise" means any industrial project in Micro,Small or Medium Sector (including co-operatives and Self-Help-

Groups), having an Acknowledgement of Udyog Aadhar filed

on e-portal of Ministry of Micro Small and Medium Enterprises

Tripura Industrial Investment Promotion Incentives Scheme, 2017 1. Short title The Scheme shall be called theTripura Industrial Investment Promotion Incentives Scheme, 2017 (hereafter referred to as "Scheme—2m 7”) for industrial enterprises (hereafter referred to as ”enterprises”) to be set up in the State of Tripura. 2. Commencement and Duration Unless specifically mentioned against the respective items of incentives sanctioned under Scheme-2017, it shall come into effect from the first day of April, 20l7 in the whole offripura and shall remain in force for a period offive years ending on the thirty—first day of March, 2022. Provided that wherever an incentive is being allowed to an enterprise for a specified period reckoned from the date of commencement of commercial production of the enterprise orany other prescribed date, such benefit will continue to be available till the expiry of the specified period for that particularenterprise, even beyond the thirty—first day of March, 2017. 3. Definitions In Schemee2017, unless the context otherwise requires: (i) "Authorized Agent" means the Directorate of Industries and Commerce and/orTIDC or an agent specifically authorized by the State Government, for operation of the Scheme—2017. (ii) "Central Government” means Government of India. (iii) "Designated Authority" means an authority designated for a particular purpose. (iv) "Enterprise" means any industrial project in Micro, Small or Medium Sector (including co—operatives and Self—Help— Groups), having an Acknowledgement of Udyog Aadhar filed on e-portal of Ministry of Micro Small and Medium Enterprises

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Government of lndia,0n 0r after the first of April 2017; or

(v) "Fa{t0ry" means a 'Factory' as defined under the provisions of the Factories

Act, 1948 as amended from time t0 time'

(vi) ,,Fixed eapitat lnvestment" means investment made in land,

building, plant and machinery of the enterprise for {0mmencement of

commercial production on or after first day of April, 2017, but before or

on thirty first day of March ,2a77.For the purpose of going in for substantial

expansion of an enterprisewhich commenced productton within the

Scheme period, the fixed capital investment means investment

madeinland,buildingandmachlneryonorafter0istApr|1,2022'

[xplanation.

"Fixed capital lnvestme*t" shall be talculated as fotlows:

a) Land: Actual price cr premium paid for the land, freehold or leasehold,

as determined by the authorized agent'

b) Buitding:The actual expenditure incurred for construction of the office

building, factory sheds, boundary walls as necessary for the enterprise,

but not including the residentiai quarte6'

c) Plant & Machinery: The fixed capital investment in plant and

machinery shall also include the cost of machinery and installation

of generator set, cost of drawal of high tension and low tension

pOwer lines and installation of transformer, provided that such costs

have not been otherwise reimbursed by the State or central

Government. The Fixed capital investment on plant and machinery

shall be the cost of piant and machinery as erected, including the

cost of productive equipments such as iigs, dies, moulds etc'' but

excludingthecostofanysecand-handplantandmachinery.

(vii) ,'Large [nterprise" me.ans an enterprise other than a micr0, small or

medium enterprise, as defined by central Government, from time t0 time; 0r

in absence of such definitions as may be defined by the State Government'

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Government of lndia, on or after the first of April 20i7; or (v) "Factory" means a ‘Factory‘ as defined under the provisions of the Factories Act, i948 as amended from time to time. (vi) "Fixed Capital Investment“ means investment made in land, building, plant and machinery of the enterprise for commencement of commercial production on or after first day of April, 20l7, but before or on thirty first day of March, 2022. For the purpose of going in for substantial expansion of an enterprise which commenced production within the Scheme period, the fixed capital investment means investment made in land, building and machinery on or after Olst April, 2022. Explanation. "Fixed capital investment" shall be calculated as follows: ‘ a) Land: Actual price or premium paid for the land, freehold or leasehold, as determined by the authorized agent. b) Building: The actual expenditure incurred for construction of the office building, factory sheds, boundary walls as necessary for the enterprise, but not including the residential quarters. c) Plant & Machinery: The fixed capital investment in plant and machinery shall also include the cost of machinery and installation of generator set, cost of drawal of high tension and low tension power lines and installation of transformer, provided that such costs have not been otherwise reimbursed by the State or Central Government. The Fixed capital investment on plant and machinery shall be the cost of plant and machinery as erected, including the cost of productive equipments such as jigs, dies, moulds etc, but excluding the cost of any second-hand plant and machinery. :fi [is-J -' Wmfll‘lfliflflilf ‘ fffl' fls'E‘i-C (vii) "Large Enterprise" means an enterprise other than a micro, small or medium enterprise, as defined by Central Government, from time to time; or in absence of such definitions as may be defined by the State Government. —‘1 ~th ~ - 5:. F‘ln-f'flflJ

(x)

{xi)

{viii) "Micro [nterprise" rneans a very small-scale enterprise, with an investment ceiling as may be prescribed by the Government of lndia,

from time t0 time; or in absence of such prescription, as may be defined by the State Government.

(ix) "5mall Enterprise" means small scale enterprise with an investment ceiling as may be prescribed by the Government of lnd ia from time to

time; or in absence of such prescription as may be defined by the State

6overnment.

"Medium Enterprise" means a medium*scale enterprise, with an

investment ceiling as may be prescribed by the Government of lndia,

from time io time; or in absence of such prescription, as may be defined by the State Government.

"Thrust Sector lndustries" means the industrial units which are using

Bamboo, Rubber, Agri and Hoticultural produce and Gas as their

major raw materials during production. Tea manufacturing shall also

be considered under thrust sector industries

{xii1 "Negative List" means the list of industries in the Annexure hereto, as may be amended or altered by the State Government, from time t0 time.

{xiii) "Scheme-2012" means the "Tripura lndustrial lnvestment Promotion lncentive Scheme" 201 2.

{xiv) "Standard Certifi(ation" means certification given by a (0mpetent authority, after due inspection/ testing 0n

standard of goods produced/ processed followed by the

concerned enterprise.

"State Government" means the Government of lripura.

"TlDC" means the Tripura lndustrial Development Corporation Limited.

(xvii) "T5[CL" means the Tripura State Electricity Corporation

Limited

{xv)

(xvi)

(viii) (M (X) (xi) (xii) (xiii) (xiv) (XV) (xvi) (xvii) "TSECL" means the Tripura State'Electricity Corporation "Micro Enterprise" means a very small—scale enterprise, with an investment ceiling as may be prescribed by the Government of india, from time to time; or in absence of such prescription, as may be defined by the State Government. "Small Enterprise" means smali scale enterprise with an investment ceiling as may be prescribed by the Government of india from time to time; or in absence of such prescription as may be defined by the State Government. "Medium Enterprise" means a medium—scale enterprise, with an investment ceiling as may be prescribed by the Government of india, from time to time; or in absence of such prescription, as may be defined by the State Government. "Thrust Sector industries" means the industrial units which are using Bamboo, Rubber, Agri and Hoticultural produce and Gas as their major raw materials during production. Tea manufacturing shall also be considered under thrust sector industries. "Negative List" means the list of industries in the Annexure hereto, as may be amended or altered by the State Government, from time to time. "Scheme—2012" means the ”Tripura industrial investment Promotion incentive Scheme" 20i 2. ' "Standard Certification" means certification given by a competent authority, after due inspection/ testing on standard of goods produced/ processed followed by the concerned enterprise. "State Government” means the Government ofiripura. "TIDC" means the Tripura industrial Development Corporation Limited. Limited

(xviii) "Tripura Value Added Tax" 0r TVAT means value added tax

obligations of enterprise to the State Government on its sales, under

the Tripura Value Added Tax Act, 2005 (Tripura Act No. 1 of 2005).

{xix) "Year" means unless otherwise specifically stated and not repuqnant to

the context, the flnancial year; c6mmencing from the first day of April

and endinq 0n the thirty-first day of March following'

Provided that the State Government, in lndustries & Commerce

Department , may, by notification, amend the definitions under the

Scheme-20,]7, to give effect to changes in definilions by the

Government of lndia 0r t0 meet the changed requiremeni of the

Scheme, in the interest of effective implementation of the Scheme.

4. Applicability of the Scheme-2017 4.1. The Scheme-2017 shall be applicable to all micro, small and

medium enterprises which C0mmence their commercial production

in the ltate, on or after the first day of April 2017, but before or on thirty-first day of March, 20)2,inthe private sectgl co-operative

se{t0r, self-help-groups, joint sector and also companies owned or

managed bY the State Government.

4.2. Wherever an incentive under Scheme-2017 is being allowed to an

enterprise over a period of 5 years reckoned from an appropriate

date, such benefit will continue to be available till the expiry

of such period for that particular incentive for that particular

enterprise, even beyond the thirty-first day of March, 2022'

4.3. Provided that if a newly set up enterprise is sold 0r otherwise

transferred t0 a fiew 0wner during the period of five years, the

benefit of the incentive, shall be available to such transferee or the

new 0wner, *nly for the un-expired portion of the said period

of five years. ln case 0f leasing out of any industrial enterprise,

set ilp under fiovernment sert0r 0r otherwise, to any third party

for running the same in self-sustained basis or in Public-Private

(xviii) "Tripura Value Added Tax" or TVAT means value added tax obligations of enterprise to the State Government on its sales, under the iripura Value Added Tax Act, 2005 (Tripura Act No. i of 2005). (xix) "Year" means unless otherwise specifically stated and not repugnant to the context, the financial year; commencing from the first day of April and ending on the thirty—first day of March following. Provided that the State Government, in industries & Commerce Department, may, by notification, amend the definitions under the Scheme—20i7, to give effect to changes in definitions by the Government of india orto meetthe changed requirement of the Scheme,in theinterest of effective implementation ofthe Scheme. Applicability of the Scheme—2017 The Scheme—20W shall be applicable to all micro, small and medium enterprises which commence their commercial production in the State, on or after the first day of April 20i 7, but before or on thirty-first day of March, 2022, in the private sector, co-operative sector, self-help-groups, joint sector and also companies owned or managed by the State Government. 4.2. Wherever an incentive under Scheme—20i7 is being allowed to an enterprise over a period of5 years reckoned from an appropriate date, such benefit will continue to be available till the expiry of such period for that particular incentive for that particufar enterprise, even beyond the thirty—first day of March, 2022. 4.3. Provided that if a newly set up enterprise is sold or otherwise transferred to a new owner during the period of five years, the benefit of the incentive, shail be available to such transferee or the new owner, only for the unexpired portion of the said period of five years. in case of leasing out of any industrial enterprise, set up under Government sector or otherwise, to any third party for running the same in self—sustained basis or in Public—Private

5.2

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5.

5.1

6.

6.1

Partnership model at any subsequent stage, the Scheme, 20,17 shall be

applicable for providing subsidy (excluding the capiral invesrment subsidy)

for the un-expired p0rti0n of 5 year period t0 the lessee.

Non-applicability of the Scheme-201 7

Unless specifically mentioned otherwise, the Scheme-2017 shall not

be applicable t0 the enterprises that have comnrenced commercial

production, pri0r t0 the first day of Aprii 20'17. Such enterprises shall

continue to be governed by the Scheme-2012.

Ihe Scheme-2017 shall not be appliiable to all large scale units and for

the industrial activities listed in Ihe negative list as shown in Annexure

hereto.

Eligibility for lncentives under the Scheme -2A17

Any industrial enterprise to which the Scheme-lAV applies shall be considered for grant of incentives as per the Scheme-20l7 only on

securing an "lncentives Eligibility Certificate" in such format and from the

competent authority to be notified by the State Government, The lncentives

Eligibility Certificate shall not be issued unless:

a) Ihe project is covered by necessary industrial approvai already received in the form of industrial license or letter of intent

or l[M or registration certifi.ate, as thc case may be, under

the lndustries (Development and Regulation) Act, 1951;

or a Secretariat for lndustrial Approval (5lA) reference number or an Acknowledgement of online filing of Udyog

Aadhaar Memorandum through national e- portal for

registration of M5MEs.

b) ln respect of enterprises/ industries identified as compulsorily licensable 0r 0n any other restricted iist as may

be notified by the [entral Government or the State Government

from time to iime, the required clearance/ licence from the

notified auth0rities has been obtained by the enterprise;

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5.2 Partnership model at any subsequent stage, the Scheme, 20i7 shall be applicable for providing subsidy (excluding the capital investment subsidy) for the un—expired portion of 5 year period to the lessee. Non—applicability of the Scheme—2017 Unless specifically mentioned otherwise, the Scheme—20i7 shall not be applicable to the enterprises that have commenced commercial production, prior to the first day of April 2017. Such enterprises shall continue to be governed by the Scheme—2012. The Scheme—20W shall not be applicable to all large scale units and for the industrial activities listed in the negative list as shown in Annexure hereto. Eligibility for incentives under the Scheme—201 7 Any industrial enterprise to which the Scheme—2017 applies shall be considered for grant of incentives as per the Scheme~20i7 only on securing an ”incentives Eligibility Certificate” in such format and from the competent authority to be notified by the State Government. The incentives Eligibility Certificate shall not be issued unless: a) The project is covered by necessary industrial approval already received in the form of industrial license or letter of intent or lEi\/l or registration certificate, as the case may be, under the industries (Developmentand Regulation) Act, i95i; or a Secretariat forlndustrial Approval (SlA) reference number or an Acknowledgement ofoniine filing of Udyog Aadhaar Memorandum through national e- portal for registration of MSMEs. b) In respect of enterprises/ industries identified as compulsorily licensable or on any other restricted iist as may be notified by the Central Government or the State Government from time to time, the required clearance/ licence from the 94: notified authorities has been obtained by the enterprise;

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6.3

The unit has gone into commercial production.

The enterprises issued lncentives Eligibility [ertificate shall be liable

to submit such documents as may be required by the designated authority

to enable consideration of the claims for lncentives under Scheme-2017.

All incentives payable under Schem e-2017 shall be paid through the

Financial lnstitution financing the prolect or in case of self-financed projects,

into a bank account; the requisite actount and other formal anangements

for which have to be tied up by the entrepreneurs in agreement with the

concerned financial institution or bank and intimated to the Department

of lndustries & Commerce.

The eligibility of enterprises for incentive under any Clause of Scheme*

2017 shall, unless otherwise be specified, be limited t0 the am0unt

calculated as per the respective (lause of Scheme-2Q17 reduced by the

am0untofincentive,subsidy 0r grant received by the enterprise under

any Operative Scheme outside the scheme-Z017 operated by a

Ministry or Department of Government of lndia or its agencies/ boardsl

authority, or under any Scheme operated by the North-Eastern Countil,

for promotion of industrial projects/ investments.

6.5. The issue of an lncentives [ligibility certificate in favour of any

enterprise shall not entitle the enterprise to claim the release of

incentives under the Scheme-20l7 as a matter of right, which shall,

inter alia, be subject t0 the unit having submitted their claims as

per the format, the procedure and within one year of the period to

which the claim relates and further subject t0 the unit being in

operation.

7. Capital lnvestment SubsidY 7 .1 All eligible enterprises will be entitled to an incentive at the rate 0f

30Yo of the fixed capital investment subject t0 an aggregate ceilinq

of Rs. 60lakhs in each enterprise. Enterprises belonging to theThrust

Sector lndustries, as defined above, shall be entitled to receive

6.4

'ffi1-

6.3 6.4 The unit has gone into commercial production. The enterprises issued incentives Eligibility Certificate shall be liable to submit such documents as may be required by the designated authority to enable consideration of the claims for incentives under Scheme‘20l7. All incentives payable under Scheme—2017shail be paid through the Financial institution financing the project or in case of self—financed projects, into a bank account; the requisite account and other formal arrangements for which have to be tied up by the entrepreneurs in agreement with the concerned financial institution or bank and intimated to the Department of industries & Commerce. The eligibility of enterprises for incentive under any Clause of Scheme— 20i7 shall, unless otherwise be specified, be limited to the amount calculated as per the respective Clause of Scheme-20W reduced by the amount of incentive, subsidy or grant received by the enterprise under any operative Scheme outside the Scheme—20i7 operated by a Ministry or Department ofGovernment of lndia or its agencies/ boards/ authority, or under any Scheme operated by the North-Eastern Council, for promotion of industrial projects/ investments. 6.5. The issue of an incentives Eligibility Certificate in favour of any enterprise shall not entitle the enterprise to claim the release of incentives under the Scheme~20i 7 as a matter of right, which shall, inter alia, be subject to the unit having submitted their claims as per the format, the procedure and within one year of the period to which the claim relates and further subject to the unit being in operation. ~ 7. Capital investment Subsidy 7.1 All eligible enterprises will be entitled to an incentive at the rate of 30% of the fixed capital investment, subject to an aggregate ceiling of Rs. 60 lakhs in each enterprise. Enterprises belonging to theThrust Sector industries, as defined above, shall be entitled to receive

7.2

7.3

incenlive at the raie af 40Vo of the fixed capital investment with an overall

ceiling of Rs. 70 lakhs per enterprise. Sole proprietorship units belonging

to Sl 5( and Women individuals or partnership business where all partners

belongs to Sl SC and Women will be eligible for an additional subsidy at

the rate of 2,5a/a on fixed capital investment, subject to an aggregate ceiling

of Rs.60 lakhs or Rs. 70 lakhs, as the case may be, per enterprise. Capital

lnvestment Subsidy shall be provided to Tea Processing Units set up under

the co-operative approach by small tea growers @ 5A0/o of fixed capital

investment subject t0 an upper ceiling of Rs. 100 lakhs. Subsidy shall not

be allowed 0n the expenses for constructing boundary wall in case of

residences located within the factory area fenced by the boundary wall.

Provided that wherever an enterprise is eligible for [apital lnvesiment

Subsidy under any other Schemes of the State or Central Government, the

amount of subsidy to be provided under this Clause shall stand reduced

t0 the extent of subsidy entitlement under the Schemes of the State or

Central Government. ln case of revival of the NEIIPP Scheme of the [entral

Government we.f. 01st April, 201 7 or at any later date, the provision under

the Scheme,2017 shall suitably be modified, if deemed necessary.

Ihe incentive will be disbursed to eligible industrial enterprises in single installment. This is subject to the condition that the

industrial enterprise continues t0 operate and has not closed

down.

B" ProcurementPreference 8.1 5ubject to their meeting the quality, delivery and other

specifications of the purchasing State Government Agencies,

Procurement Preference will be given on all purchases by State

Government Agencies - including Departments/ Corporations/

Public Sector Enterprises/ Autonomous Bodiesl Aided

lnstitutions ofthe State Government - on products manufactured

in lripura by eligible enterprises.

V's 7.2 7.3 incentive at the rate of 40% of the fixed capital investment with an overall ceiling of Rs 70 lakhs per enterprise. Sole proprietorship units belonging to ST, SC and Women individuals or partnership business where all partners belongs to Sf, SC and Women will be eligible for an additional subsidy at the rate of 2.5% on fixed capital investment, subject to an aggregate ceiling of R560 lakhs or Rs. 70 lakhs, as the case may be, per enterprise. Capital investment Subsidy shall be provided to Tea Processing Units set up under the co-operative approach by small tea growers @ 50% of fixed capital investment subject to an upper ceiling of Rs. iOO lakhs. Subsidy shall not be allowed on the expenses for constructing boundary wall in case of residences located within the factory area fenced by the boundary wall. Provided that wherever an enterprise is eligible for Capital investment Subsidy under any other Schemes of the State or Central Government, the amount of subsidy to be provided under this Clause shall stand reduced to the extent of subsidy entitlement under the Schemes of the State or Central Governments in case of revival of the NEllPP Scheme of the Central Government w.e.f. Oist April, 20i7 or at any later date, the provision under the Scheme, 20i7 shall suitably be modified, if deemed necessary. The incentive will be disbursed to eligible industrial enterprises in single installment. This is subject to the condition that the industrial enterprise continues to operate and has not closed down. Procurement Preference Subject to their meeting the quality, delivery and other specifications of the purchasing State Government Agencies, Procurement Preference will be given on all purchases by State Government Agencies — including Departments/ Corporations/ Public Sector Enterprises/ Autonomous Bodies/ Aided institutions of the State Government ¥ on products manufactured in Tripura by eligible enterprises.

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The procurement preference would be applicable in case of items

being procured through tendering process by the State Government

Agencies. For extension of procurement preference, the landed price af the

item being procured shall be calculated for all the eligible tenderers at the

destination specified by the purchaser before imposition of all kinds of

taxes as applicable under Goods and Services Tax Acts. The landed price

would, howevet include insurance charges and freight costs imposed prior

to the goods entering the State ofTripura, quoted by the supplier located

outside Tripura.

(Modifications of the clause 8"2 have been done through Notification vide

No. F. DllS U B lTlls I 4-1{21) I 2006 I P art'V I / 1 6955-66 dated 30th Novem ber,

201 i)

The procurement purchase for enterprises in Tripura shall operate as

follows:

ln cases where after comparison of the landed price of all eligible tenderers,

one 0r more local industrial enierprise(s) emerge as lhe first lawest tenderet,

the said enterprise(s) shall be eligible lo get supply order for 100% of the

tendered quantity 0f the item being procured by the State 60vernment Agencles.

ln cases where after comparison of the landed price of all eligible tenderers,

the first lowest tenderer is an enterprise from outside the State; but the

price of one 0r more local industrial enterprise(s) is not over 1570 of

the price quoted by the first lowest tenderer, the said local industrial

enterprise(si shall be eligible t0 get supply order for 10070 of the

tendered quantity ofthe item being procured bythe State Government

Agencies, except in case of cement, steeland GCI sheet, where 65:35

ratio for local/ outside bidders will be followed, provided that they

shall be ready ta supply the same by matching the price offered by

the first lowest tenderer.

c) ln cases where after comparison of quoting prices of all eligible tenderers, the first lowest tenderer is a bidder from within the State

(other than local industrial enterprise); but the price quoted by local

industrial enterprise is not over 1570 of the price quoted by the

8.3.

a)

8.2 The procurement preference would be applicable in case of items being procured through tendering process by the State Government Agencies. For extension of procurement preference, the landed price of the item being procured shall be calculated for all the eligible tenderers at the destination specified by the purchaser before imposition of all kinds of taxes as applicable under Goods and Services Tax Acts. The landed price would, however, include insurance charges and freight costs imposed prior to the goods entering the State ofTripura, quoted by the supplier located outside Tripura. (Modifications of the clause 8.2 have been done through Notification vide No. F.Dl/SU8/TllS/4—Z(2i)/2006/Part—Vl/i695S—66 dated 30th November, 20l7) . The procurement purchase for enterprises in Tripura shall operate as follows: in cases where after comparison of the landed price ofall eligible tenderers, one or more local industrial enterprise(s) emerge as the first lowest tenderer, the said enterprise(s) shall be eligible to get supply order for lOO% of the tendered quantity ofthe item being procured by the State Government Agencies. in cases where after comparison of the landed price of all eligible tenderers, the first lowest tenderer is an enterprise from outside the State; but the price of one or more local industrial enterprise(s) is not over l5% of the price quoted by the first lowest tenderer, the said local industrial enterprise(s) shall be eligible to get supply order for i00% of the tendered quantity of the item being procured by the State Government Agencies, except in case of cement, steel and GO sheet, where 65:35 ratio for local/ outside bidders will be followed, provided that they shall be ready to supply the same by matching the price offered by the first lowest tenderer. c) in cases where after comparison of quoting prices of all eligible tenderers, the first lowest tenderer is a bidder from within the State (other than local industrial enterprise); but the price quoted by local industrial enterprise is not over i5% ofthe price quoted by the : 4-I '9! f]

l

l

first lowest tenedereL the said local industrial enterprise shall be eligible

t0 receive order for 5070 of the tenedered quantity provided the local industrial unit is ready to supply items maiching the price offered by the

first lowest tenderer.

d) Forthe situations, as mentioned, in para (b) and (c) of the sub-clause above, the local industrial enterprises which quote rates not over the 1570

range of the price quoted by the first lowest tenderer shall entitle ro receive orders on equal distribution basis.

8.4 ln orderto be eligible for benefits underthis clause, an enterprise shall have to achieve at least 20% value addition within the State, to be ascertained in the manner as may be prescribed by the state Government. "Value Addition" for this purpose would mean the difference between the

total landed cost (in Tripura) of all inputs used in production and the selling

price for every unit of the item being procured.

8.5 Notwithstanding anything contained in 0ause 4 & 5 of the Scheme-20']7, the incenlive under this clause shall be available to all the local enterprises

irrespective of their date of commencement of commercial production; i.e.,

enterprises who started commercial production, prior to 1st April, 2017 shall also be eligible for benefit under this clause, subject to fulfillment of other el igibil ity conditions.

9. Industrial Promotion Subsidy: 9.1 All the eligible enterprises shall be entitled t0 an lndustrial

Promotion Subsidy equai to the net am0unt of theTripura Value

Added Tax (VAI), [entral Sales Tax (CST), any other commodity

tax and Goods and Services Tax actually paid by them to the

State Government 0n Sale of finished goods, subject to the

following conditions:

a) The subsidy shall be equal to rhe amount ofTripura Value Added Tax {VAT) (net ofthe input taxes), Central SalesTax (CST) and

any 0ther commodity tax actually paid by the enierprise to

the State 6overnment upto 30th june, 2017. Thereafter, from

01st July, 2017, subsidy shall be equal to the amount of Goods

17,

8.4 8.5 first lowest tenederer, the said local industrial enterprise shall be eligible to receive order for 50% of the tenedered quantity provided the local industrial unit is ready to supply items matching the price offered by the first lowest tenderer. For the situations, as mentioned, in para (b) and (c) of the sub~clause above, the local industrial enterprises which quote rates not over the 15% range of the price quoted by the first lowest tenderer shall entitle to receive orders on equal distribution basis. in order to be eligible for benefits under this clause, an enterprise shall have to achieve at least 20% value addition within the State, to be ascertained in the manner as may be prescribed by the State Government. "Value Addition” for this purpose would mean the difference between the total landed cost (in Tripura) of all inputs used in production and the selling price for every unit of the item being procured. Notwithstanding anything contained in Clause 4 & S of the Scheme~201 7, the incentive under this clause shall be available to all the local enterprises irrespective oftheir date of commencement ofcommercial production; i.e., enterprises who started commercial production, prior to 1st April, 2017 shall also be eligible for benefit under this clause, subject to fulfillment of other eligibility conditions. industrial Promotion Subsidy: All the eligible enterprises shall be entitled to an industrial Promotion Subsidy equal to the net amount of the Tripura Value Added Tax (VAT), Central Sales Tax (CST), any other commodity tax and Goods and Services Tax actually paid by them to the State Government on Sale of finished goods, subject to the following conditions: The subsidy shall be equal to the amount otTripura Value Added Tax (VAT) (net of the input taxes), Central Sales Tax (CST) and any other commodity tax actually'paid by the enterprise to the State Government upto 30th June, 2017. Thereafter, from Oist July, 2017, subsidy shall be equal to the amount of Goods

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and Services tax (net of input tax) paid ta,the State Government. Payment

I :l::tidy is subject to'overall eeiling of Rs. 60 lakhs per enterprise per

. anfium.

b) The aggregating limit of entitlement of an enterprise for 5 years shall not exceed to the i00% value of investment made tn plant and machinery by

the enterprise. An enterprise shall be ceased to avail benefit of lndustrial

,' Promotion SuUsiOy as and when the aggregating reimbursement amount

. :ru,nr: ,o ,n: illestment limit,during,,:r trt*ud of 5 year period.

c) The subsidy shall'be given t0 the eligible enterprises commencing

or on 31st day of March, 2022 and shall be provided for a period of 5 years

from the date of commercial production. t.:..

(Modifications of the ilause 9, allowing subsidy 0n payment of tax made under

Goods andiServices Tax Act., have been done through Notification vide No.

F,Dt/5UB/TIlS/4-2(21)l2A12ln4A5-16 dated 16th August, 2017)

10. Reimbursement of Power Charges 10.1 All eligible enterprises will be allowed partial reimbursement of industrial

power charges paid to the TSECL 0r an approved agency for a period offirst

five yqars reckoned from the date of commencement of commercial production, subject to the ceilings laid down in Clause-10.2.

1 0.2 lhe reim bursement of power cha rges shal I be @ 25a/o of the power

charges,actually paid by the enterprise, subject to a maximum

am$unt,of'Rs. 12,lakhs per annum per enterprise. Provided {urther

that an enterprise shall not be allowed reimbursement for power

charges if it'is in default of payment of'power charges 0r any other

liabilities to TSECL.:-'----- : 10.3 lf an industrial enterprise installs Multiplelariff (variablerate)

Meter for record in g the time' of consumption of power du rin g non-

peak hours likefiom r{dnight to dawn, in that case the entire cost

" of the installed device shall be re-i:mbursed.

and Services tax (net of input tax) paid to the State Government. Payment of subsidy is subject to overall ceiling of Rs. 60 lakhs per enterprise per annum. b) The aggregating limit ofentitlement of an enterprise forS years shall not exceed to the 100% value of investment made in plant and machinery by the enterprise. An enterprise shall be ceased to avail benefit of industrial Promotion Subsidy as and when the aggregating reimbursement amount reaches to the investment limit during the spread of 5 year period. c) The subsidy shall be given to the eligible enterprises commencing commercial production on or after the first day of April, 2017 but before or on Bist day of March, 2022 and shall be provided for a period of 5 years from the date of commercial production. (Modifications of the Clause 9, allowing subsidy on payment of tax made under Goods and Services Tax Act, have been done through Notification vide No. F.Dl/SUB/TllS/4-2(21)/2012/12405-16 dated 16th August, 2017) 10. Reimbursement of Power Charges 10.1 All eligible enterprises will be allowed partial reimbursement ofindustrial power charges paid to the iSECL or an approved agency for a period of first five years reckoned from the date of commencement of commercial production, subject to the ceilings laid down in Clause—10.2. 10.2 The reimbursement of power charges shall be @ 25% ofthe power charges actually paid by the enterprise, subject to a maximum amount of Rs. 12 lakhs per annum per enterprise. Provided further that an enterprise shall not be allowed reimbursement for power charges if it is in default of payment of power charges or any other liabilities to TSECL. ‘“ 10.3 lfan industrial enterprise installs Multipleiartff (variable rate) Meter for recording the time of consumption of power during none peak hours like from midnight to dawn, in that case the entire cost of the installed device shall be re-imbursed.

ii. Partial Re-imbursement of lnterest on working capital Loans 11.1 Subject to provisions of clause 6.4 af the Scheme-2017, all eligible

enterprises will be entitled to a reimbursemeni 0f interest paid to banks/

financial institutions, at the rate af 4o/a onthe working capital loans availed

by them, for 5 years from the daie of commencement of commercial production, provided that the enterprises have no interest liabilities overdue

to the banks/ financial institutions; and subject further to a ceiling of

Rs.3,00,000 per year per enterprise.

11.2 The reimbursement of interest subsidy shall be further limited to the 4% of the 25%o turnover of the enterprise in the reference year.

12. Reimbursement of Standard [ertification Fees / Charges Subject to provisions of Clause 6.4 af the Scheme.2011, all eligible enterprises will be allowed 0ne-time full reimbursement of fees/ charges/

other expenses 0n account of obtaining a standard (ertification in certain

specific areas from National and lnter-national Bodies. The areas are: 1)

i50-9000 Quality Management sysrem 2) lS0-14000 Environmenral Management system 3) lS0-18000 Occupational Health and Safety

Standards 4) Bl5 certification 5) Green Energy Certificate 6) Bureau of

Energy Efficiency Certificate 7) F55Al License B) AGMARK 9) 0rganic

Products ( (related to Tea and Horticultural items/ products)

10) Forest Stewardship Council (FSC)

13. Exemption from Earnest Money and Security Deposits Notwithstanding anything c0ntained in Clause 4 and 5 of the

5cheme/2017, all eligible enterprises shall be given 100Y0

exemption from the payment of earnest money and security

deposits for items indicated in their Eligibility Certificate issued

under this Scheme, on tenders floated by the State Government

Departments/ Agencies (including Corporations/ Undertakings/

auton0m0us bodies of the State Government). However, such

exemption shall be confined 0nly t0 the tenders for procurement

'€-iff-I:-

11. Partial Reimbursement of interest on Working Capital Loans 11.1 Subject to provisions of Clause 6.4 of the Scheme-2017, all eligible enterprises will be entitled to a reimbursement of interest paid to banks/ financial institutions, at the rate of 4% on the working capital loans availed by them, for 5 years from the date of commencement of commercial production, provided that the enterprises have no interest liabilities overdue to the banks/ financial institutions; and subject further to a ceiling of Rs.3,00,000 per year per enterprise. 11.2 The reimbursement of interest subsidy shall be further limited to the 4% of the 25% turnover of the enterprise in the reference year. 12. Reimbursement of Standard Certification Fees / Charges Subject to provisions of Clause 6.4 of the Schemee2017, all eligible enterprises will be allowed one-time full reimbursement of fees/ charges/ other expenses on account of obtaining a standard certification in certain specific areas from National and Inter—national Bodies. The areas are: 1) ISO—9000 Quality Management system 2) lSO-14000 Environmental Management system 3) ISO—18000 Occupational Health and Safety Standards 4) BIS certification 5) Green Energy Certificate 6) Bureau of Energy Efficiency Certificate 7) ESSAl License 8) AGMARK 9) Organic Products ( (related to Tea and Horticultural items/ products) 10) Forest Stewardship Council (FSC) 13. Exemption from Earnest Money and Security Deposits Notwithstanding anything contained in Clause 4 and 5 of the Scheme/2017, all eligible enterprises shall be given 100% exemption from the payment of earnest money and security deposits for items indicated in their Eligibility Certificate issued under this Scheme, on tenders floated by the State Government ! Departments/ Agencies (including Corporations/ Undertakings/ autonomous bodies of the State Government). However, such exemption shall be confined only to the tenders for procurement

14,

of goods. Procurement of Services, Works Contract, etr. are excluded from

the scope of this exemption. The incentive under this clause shali be available

to all the enterprises irrespective of the time/ year of their setting up, subject

to fulfilment of other eligibility conditions.

Employment Cost Subsidy {lhrust Sector only)

Employment cost subsidy shall be provided t0 ihe enterprises belonging t0 the

thrust sector in the forrn of reimbursement of the c0ntrilluti0n made towards

Employees' Provident Fund (EPF) and Employees' State lnsurance (ESl) Schemes

for a period of 5 years. i00% reimbursement of expenditure to micro, small and

medium enterprise shall be provided 0n a{count of contribution paid towards

IPF and FSI Schemes subject to employment of 20 0r more people skilled and

semi-skilled workers who are domiciled of the Staie.

Subsidy on fees paid for (redit Guarantee Trust Fund for Micro and

Small Interprise {CGTMS[)

10070 reimburs€ment for one tirne guarantee fee paid and the service fees

paid every year by Micro and Small enterprises for TGTMSE coverage taken

on loan granted by Banks/ NBFCs shall be provided for 5 years.

[xport Promotion Subsidy (Thrust Sector only)

lndustrial enterprises under thrust sector which export their

manufactured goods to Bangladesh through the Land Cusiom Stations

in the State shall be provided re-imbursement @ 1070 of the value

of goods exported subject to a ceiling of Rs. 20 lakhs per enterprise

per annum. Re-imbursement of payment shall be made 0n the

basis of records available with Central (ustoms authority.

17 . Subsidy for partiripaticn in fares and exhibition (Thrust Sector only)

Re-imbursement of a part of the travelling expenses and the

iransportation rost incurred to carry goods to participate in State

and National levels trade/ industryfares and exhibitions held outside

the State shall beprovided ioenterprises falling under ihrustsector.

15.

16.

I I a

2A

14. 15. of goods. Procurement of Services, Works Contract, etc. are excluded from the scope of this exemption. The incentive under this clause shall be available to all the enterprises irrespective of the time/ year of their setting up, subject to fulfilment of other eligibility conditions. Employment Cost Subsidy (Thrust Sector only) Employment cost subsidy shall be provided to the enterprises belonging to the thrust sector in the form of reimbursement of the contribution made towards Employees’ Provident Fund (EPF) and Empioyees' State insurance (ESl) Schemes for a period of 5 years. i00% reimbursement of expenditure to micro, small and medium enterprise shall be provided on account of contribution paid towards EPF and ESI Schemes subject to employment of 20 or more people skilled and semi~skilled workers who are domiciled of the State. Subsidy on fees paid for Credit Guarantee Trust Fund for Micro and Small Enterprise (CGTMSE) l00% reimbursement for one time guarantee fee paid and the service fees paid every year by Micro and Small enterprises tor CGTMSE coverage taken on loan granted by Banks/ NBFCs shall be provided for 5 years. Export Promotion Subsidy (Thrust Sector only) industrial enterprises under thrust sector which export their manufactured goods to Bangladesh through the Land Custom Stations in the State shall be provided re-imbursement @ i0% of the value of goods exported subject to a ceiling of Rs. 20 lakhs per enterprise perannum. Re—imbursement of payment shall be made on the basis of records available with Central Customs authority. 17. Subsidy for participation in fares and exhibition (Thrust Sector only) Re—imbursement of a part of the travelling expenses and the transportation costincurred to carry goods to participate in State and National levels trade/ industry fares and exhibitionsheld outside the State shall be provided to enterprises falling under thrust sector.

For participation of fares and exhibitions in Banqladesh, the benefit of re- imbursement shall be provided as well. Re-imbursement of expenditures on travelling charges paid for one pers0n of the participating industrial enterprise and the transportation rost (t0- and-fro) of goods for display or sale @ 500/a of the a(tual expenditures incurred and subjecl t0 an upper ceiling of Rs. 50000/- per enterprise for each participation. Re- imbursement of expenses shall be further subject to maximum participation in 2 fares and exhibitions in a year by an industrial enterprise.

I8. Special lncentives to Industrial Enterprises continue to operate for 5 years Additional subsidiesl incentives shall be provided to the industrial enterprises

which continue t0 operate for 5 years from the date of commencement of commercial production. Subsidies shall be provided to such industrial enterprises

for a further period of 5 years. The provisions for providing additional subsidy t0 industrial enterprises after 5 years shall 0perate as follows:

18.1 Capital lnvestment 5ubsidy

Subject to the clause 7.2 and 7.3 above, the industrial enterprises which have gone in for substantial expansion after 5 years of their continuous

operation shall be considered for subsidy on additional fixed capital investment

at the applicable rates (Clause 7.1) of 4Ao/a ar 30%, as the case may be,

subject to an upper ceiling of Rs. 30 lakhs for thrust sectcr industries and Rs. 25 lakhs for industries other than thrust sector.

This is further subject to increase in the value of fixed capital investment of an industrial enterprise by not less than 250/ofor

the purpose of expansion of capacityl modernization/ diversification.

18.2 lndustrial Promotion Subsidy

lndustrial promotion subsidy {re-imbursement of "Goods and Services lax") shali be allowed @ 25Vo of "€oods and Services Tax (net of input tax) actually paid by the industrial enterprises

after 5 years of their operation. The subsidy shall be provided

for a further period of 5 years subject to the condition that the

For participation of fares and exhibitions in Bangladesh, the benefit of re~ imbursementshall be provided as well. Re-imbursement of expenditures on travelling charges paid for one person ofthe participating industrial enterprise and thetransportation cost (to—andefro) of goods for display or sale @ 50% of the actual expenditures incurred and subject to an upper ceiling of Rs. 50000/- per enterprise for each participation. Re— imbursement of expenses shall be further subject to maximum participation in 2 fares and exhibitions in a year by an industrial enterprise. 18. Special Incentives to Industrial Enterprises continue to operate for 5 years Additional subsidies/ incentives shall be provided to the industrial enterprises which continue to operate for 5 years from the date of commencement of commercial production. Subsidies shall be provided to such industrial enterprises for a further period of 5 years. The provisions for providing additional subsidy to industrial enterprises after 5 years shall operate as follows: 18.1 Capital Investment Subsidy Subject to the clause 7.2 and 7.3 above, the industrial enterprises which have gone in for substantial expansion after 5 years of their continuous operation shall be considered for subsidy on additional fixed capital investment at the applicable rates (Clause 7.1) of 40% or 30%, as the case may be, subject to an upper ceiling of Rs. 30 lakhs for thrust sector industries and Rs. 25 lakhs for industries other than thrust sector. This is further subject to increase in the value of fixed capital investment of an industrial enterprise by not less than 25% for the purpose of expansion of capacity/ modernization/ diversification. 18.2 Industrial Promotion Subsidy Industrial promotion subsidy (re-imbursement of ”Goods and Services Tax”) shall be allowed @ 25% of "Goods and Services Tax (net of input tax) actually paid by the industrial enterprises after 5 years oftheir operation. The subsidy shall be provided for a further period of 5 years subject to the condition that the

aggregate payment of subsidy to any industrial ente rprise from the date of

its commencement of production shall not exceed 10070 of investment in

plant and machinery

(Modifications of the clause'18.2 have been done through Notification vide No.

F.Dl/SUBllllsl 4-2Q1) 12A12112,4A5-16 dated 16th August, 2017)

18.3 Partial Re-imbursement of Power Charges

Power subsidy shall be provided @ 1So/a of actual power charges paid by

industrial enterprises after 5 years of operation. The incentive shall be for a

further period of 5 years and subject to an annual upper ceiling of subsidy of

Rs. 6 lakhs for enterprises with employment in the range of 20 to 50 persons,

Rs.9.00 lakhs with employment in the range of 51 to 100 persons and Rs. '12

lakhs with employment of more than 100 persons.

18.4 [mployment [ost Subsidy

Employment cost subsidy in the form of re-imbursement of employer

contribution towards payment of EPF and ESI to Regional Provident Fund

Commissioner shall be provided @ 5A0/o of the payment made by MSME units

with employment of 20 or more pers0ns for a furiher period of 5 years.

Employment cost subsidy shall be available to all MSME units after 5 years of

0peraii0n irrespective of the category of indu$ries (thrust or non-thrust secto0

18.5 Wages Subsidy Wages subsidy shall be provided t0 industrial enterprises @ 240/o

of the actual wages paid on employment of 20 or more persons

by them after 5 years ofoperation. The subsidy shall be for the

next 5 years period. The payment of wages subsidy is subject to

an upper ceiling of Rs. 2.50 iakhs per enterprise per annurn

Clarification a nd I nterpretations

ln case of any doubt or dispute regarding the provisions of the

Scheme-20i 7 , only the State Government shall be competent

to clarify 0r interpret these and such clarification or interpreiation

shall be final and binding on all concerned.

19.

aggregate payment of subsidy to any industrial enterprise from the date of % its commencement of production shall not exceed i00% of investment in plant and machinery. (Modifications of the clause i8.2 have been done through Notification vlde No. F.DI/SUB/TllS/4~2(2l)/20i2/T2,405—l6 dated 16th August, 2017) 18.3 Partial Re—imbursement of Power Charges Power subsidy shall be provided @ 15% of actual power charges paid by industrial enterprises alterS years of operation. The incentive shall be for a further period of 5 years and subject to an annual upper ceiling otsubsidy of Rs. 6 lakhs for enterprises with employment in the range of 20 to 50 persons, Rs. 9.00 lakhs with employment in the range of Si to 100 persons and Rs. i2 lakhs with employment of more than i00 persons. 18.4 Employment Cost Subsidy Employment cost subsidy in the form of re—imbursement of employer contribution towards payment of EPF and ESI to Regional Provident Fund Commissioner shall be provided @ 50 % of the payment made by MSlVlE units with employment of 20 or more persons for a further period ofS years. Employment cost subsidy shall be available to all MSME units after 5 years of operation irrespective ofthe category of industries (thrust or non—thrust sector) 18.5 Wages Subsidy Wages subsidy shall be provided to industrial enterprises @ 20% of the actual wages paid on employment of 20 or more persons by them after 5 years of operation. The subsidy shall be for the next 5 years period. The payment of wages subsidy is subject to an upper ceiling of Rs. 2.50 lakhs per enterprise per annum. i9. Clarification and interpretations in case of any doubt or dispute regarding the provisions of the Scheme—2017, only the State Government shall be competent to clarity or interpret these and such clarification or interpretation shall be final and binding on all concerned.

20. Power to amend and repeal any 0r all Provisions

Notwithstanding anything contained in any of the provisions of the scheme

20'17, the State Government may at any time:

a) Make any amendment to this Scheme or repeal it, but the commitments already made for an eligible enterprise shall not be affected by any such

amendment or repeal;

b) lssue instructions and guidelines to facilitate implementation, to remOve anomalies and to clarifu the interpretati0ns of the provisions of

this Scheme.

21. Repeal and Savings

21.1 Ihe scheme-2012 shall be repealed and shall stand substituted by the Tripura lndusirial lnvestment Promotion lncentives Scheme, 2017 from the

date of cornmencement of the Schem e-2017 .

21.2 The commitments entered into and based on any of the previous lncentives

Scheme shall continue to be governed by the corresponding Scheme.

Annexure

Negative list of lndustries & (ommerce

lReference: Clause-3 (xii) and 5(2)I

All Iarge scale units

All service sect0r actiyities other than the following activities:

a) Hotels with investment of Rs. 3 crores 0r more excluding land b) Medical Diagnostic Centre and Radiological Laboratory with an

investment of Rs.20lakhs or more in equipments, Bio-medical

and other Waste Management.

c) Repairing and maintenance services with investment of Rs. i 5 lakhs or more in equipments.

Bricks, Brickbats, Stone Chips and any other products or sub-products

arising out of bricks (excluding fly ash bricks, sand lime bricks,

1.

2.

20. Power to amend and repeal any or all Provisions Notwithstanding anything contained in any of the provisions of the Scheme— 2017, the State Government may at any time: a) Make any amendment to this Scheme or repeal it, but the commitments already made for an eligible enterprise shall not be affected by any such amendment or repeal; b) lssue instructions and guidelines to facilitate implementation, to remove anomalies and to clarify the interpretations of the provisions of this Scheme. 21. Repeal and Savings 21.1 The Scheme—2012 shall be repealed and shall stand substituted by the Tripura Industrial Investment Promotion lncentives Scheme, 2017 from the date of commencement of the Scheme-2017. 21.2 The commitments entered into and based on any of the previous lncentives Scheme shall continue to be governed by the corresponding Scheme. Annexure Negative List of industries & Commerce [Referencez Clause-3(xii) and 5(2)] 1. All large scale units 2. All service sector activities other than the following activities: a) Hotels with investment of Rs. 3 crores or more excluding land b) Medical Diagnostic Centre and Radiological Laboratory with an investment of Rs. 20 lakhs or more in equipments, Bio—medical and otherWaste Management. c) Repairing and maintenance services with investment of Rs. 15 lakhs or more in equipments. 3. Bricks, Brickbats, Stone Chips and any other products or sub—products arising out of bricks (excluding fly ash bricks, sand lime bricks,

4.

5.

6.

7.

B.

9.

10.

refra(tory bricks), or stones and burnt earthen tiles, excluding manufacture of

bricks by mechanised process and manufacturing of bricks using natural gas as

fuel (even by using conventional non-mechanical process).

Medium Scale enterprises, generating employment for less than 20 persons on

the pay roll.

Distribution of Electricity.

Civil Aviation (excluding regional airlines

Huller Rice Mill

provided the hub is at Agartala)

[onfectionery (less than Rs. 15 lakhs investment in plant & Machinery)

Physical mixing of fertilizer and Vermicompost

Wood Furniture (other than mechanized wood furniture making unit with

investment Rs.40lakhs or more)

11. Saw Mills.

12. Tea mixing and blending

13. Enterprises manufacturing Essential [ommodities being sold through Public

Distribution System.

14. All goods falling under Chapter 24 of the First Schedule to the Central Excise

TariffAct, '19S5 (5 of 1986) which pertains to tobacco and manufactured tobacco

substitutes.

15. Pan Masala as covered under Chapter 21 of the First 5chedule t0 the

Central [xciseTariff Act, 1985 (5 of 1986).

Plastic carry bags of less than 20 microns as specified by Ministry

of Environment and Forests Notification N0.5.0.705(t) dated

02.09.1999 and 5.0.698 (E) dated 17.6.2003.

Goods falling under Chapter 27 of the First Schedule to the Central

Excise tariff Act, 1985 (5 of 1986) produced by petroleum oil or gas

refineries.

18. Enterprises engaged in manufaclure 0f alcoholic beverages.

19. Any other industryl aitivity notified by the State Government for

inclusion in this List.

17.

ar 24

“30°wa i A 10. ll. l2. l3. l4. refractory bricks), or stones and burnt earthen tiles, excluding manufacture of bricks by mechanised process and manufacturing of bricks using natural gas as fuel (even by using conventional non—mechanical process). Medium Scale enterprises, generating employment for less than 20 persons on the payroll. Distribution of Electricity. Civil Aviation (excluding regional airlines provided the hub is at Agartala) Huller Rice Mill Confectionery (less than Rs. i5 lakhs investment in plant 8: Machinery) Physical mixing of fertilizer and Vermicompost Wood Furniture (other than mechanized wood furniture making unit with investment Rs. 40 lakhs or more) Saw Mills. Tea mixing and blending Enterprises manufacturing Essential Commodities being sold through Public Distribution System. All goods falling under Chapter 24 of the First Schedule to the Central Excise Tariff Act, T985 (5 of i 986) which pertains to tobacco and manufactured tobacco substitutes. TS. Pan Masala as covered under Chapter 21 ofthe First Schedule to the Central Excise Tariff Act, T985 (5 of i986). , 16. Plastic carry bags of less than 20 microns as specified by Ministry of Environment and Forests Notification N0.S.0.705(E) dated 02.09.l999 and 5.0698 (E) dated T762003. "0 E i7. Goods falling under Chapter 27 ofthe First Scheduleto the Central Excise tariff Act, i985 (5 of 1986) produced by petroleum oil or gas refineries. i8. Enterprises engaged in manufacture of alcoholic beverages. 19. Any other industry/ activity notified by the State Government for inclusion in this List.

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