Orissa government’s incentives to attract industries: IPR 2007
Odisha govt. action, Team Odisha April 10th. 2008, 11:31amFollowing is from http://teamorissa.org/IPR_2007.zip. There is a lot of other useful information for industries looking for a home in the teamorissa web site.
Overview of Fiscal incentives offered by the Govt. of Orissa-IPR2007
(to eligible New units and existing units on substantial expansion which commence commercial production)
Sl.
|
IPR-
|
Incentive
|
SSI/ Tiny units
|
Medium
|
Large
|
Mega
|
Thrust sector*
|
Priority
|
IP/IE/SEZ
|
No
|
para
|
|
|
|
|
projects
|
|
sector
|
developer
|
|
|
(2)
|
(3)
|
(4)
|
|
(Graded)
|
|
|
|
(1)
|
|
|
|
|
|
(5)
|
|
|
|
1.
|
17.2
|
Stamp duty exemption
|
100%
|
50%
|
25%
|
NM
|
100%
|
50%
|
100%
|
2.
|
18.1
|
VAT exemption
|
100%-KVIC & H/craft, Coir etc. |
NM
|
NM
|
NM
|
NM
|
NM
|
NM
|
3.
|
18.2
|
Entry Tax exemption
|
i. 100% on P&M ii. RM-5 yrs or 100% FCI |
NM
|
NM
|
NM
|
1.100% on P&M 2. RM-5 yrs or 100% FCI |
NM
|
NM
|
|
|
|
|
|
|
|
(CtoC-cabinet)
|
|
|
4.
|
18.3
|
CST
|
NM
|
NM
|
NM
|
NM
|
@2% for 10 yrs or 100% FCI
|
NM
|
NM
|
5.
|
18.4
|
VAT Reimbursement
|
50%-5 yrs or 100%
|
50%-5 yrs
|
NM
|
NM
|
75%-10 yrs or
|
75%-5 yrs
|
NM
|
|
|
|
FCI
|
or 100%
|
|
|
200% FCI
|
or 100%
|
|
|
|
|
|
FCI
|
|
|
|
FCI
|
|
6.
|
18.5
|
Entertainment Tax for
|
100%
|
100%
|
|
|
|
|
|
|
|
Multiplexes FCI> Rs 3
|
|
|
|
|
|
|
|
|
|
crore: Reimbursement
|
|
|
|
|
|
|
|
7.
|
19.1
|
Interest subsidy
|
@5% on term loan for 5 yrs with limit of Rs 10 lakh – Micro |
NM
|
NM
|
NM
|
@5% on term loan for 5 yrs with limit of Rs 1 crore |
NM
|
NM
|
|
|
|
and 20 lakh SSI
|
|
|
|
|
|
|
8.
|
20.1
|
Power: Electricity Duty exemption |
100% Exemption for 5 years for contract demand of 110 KVA |
same as (3)
|
same as (3)
|
same as (3)
|
100% Exemption for 5 years for contract demand |
same as (3)
|
NM
|
|
|
|
|
|
|
|
upto 5 MW
|
|
|
9.
|
21
|
Patents registration
|
@ 50% with limit of
|
same as
|
same as
|
same as
|
same as (3)
|
same as
|
NM
|
|
|
cost reimbursement
|
Rs 5 Lakh
|
(3)
|
(3)
|
(3)
|
|
(3)
|
|
10.
|
22
|
Quality certification
|
50% of the
|
same as
|
same as
|
same as
|
same as (3)
|
same as
|
NM
|
|
|
(ISO) charges
|
expenditure with limit
|
(3)
|
(3)
|
(3)
|
|
(3)
|
|
|
|
reimbursement
|
of Rs 2 lakh
|
|
|
|
|
|
|
11.
|
23
|
Technical Know-how
|
50% of the
|
NM
|
NM
|
NM
|
50% of the
|
NM
|
NM
|
|
|
cost reimbursement
|
expenditure with limit of Rs 1 lakh–D |
|
|
|
expenditure with limit of Rs 1lakh– D |
|
|
|
|
|
Rs 5 lakh-M
|
|
|
|
Rs 5 lakh-M
|
|
|
12.
|
|
Investment Subsidy
|
NM
|
NM
|
NM
|
NM
|
NM
|
NM
|
NM
|
1
Source- Industrial Policy Resolution 2007
NM- Not mentioned; FCI-Fixed capital investment P&M-Plant and Machinery
* “Thrust Sector” means new industrial units in the following categories which commence fixed capital investment on or after the effective date and full fill the criteria stipulated as under.
Sector
|
Minimum Capital Investment |
Employment Generation
|
|
|
(Direct)
|
Agro-Processing
|
Rs. 25 crore
|
100
|
Automobiles
|
Rs. 300crore
|
500
|
Auto-Components
|
Rs. 50 crore
|
200
|
Textile
|
Rs. 50 crore
|
500
|
Apparel
|
Rs. 10 crore
|
500
|
Ancillary & Down Stream
|
Rs. 10 crore
|
100
|
Note – Government may, by notification modify the above list and criteria as and when necessary.
“Priority Sectors” means – New Industrial units where fixed capital investment commences on or after the effective date and fall within the following categories. 1) Information technology and IT enabled service 2) Tourism related (hotels shall not be eligible for any fiscal incentive other than land at concessional industrial rate) 3) Bio-technology 4) Petroleum, Chemicals & Petro-chemicals 5) Pharmaceuticals 6) Handicraft, Handloom, Coir and Leather products 7) Gem stone cutting and polishing 8) Sea food Processing 9) Fly ash & Blast furnace slag based industries utilizing a minimum of 25% by weight as base raw material 10) Any industry other than mineral extraction and mineral based industries, which export more than 50% of its total turnover, duly certified by the Director, Export Promotion and Marketing. 11) Units not qualifying for “Thrust Sector” status for not meeting minimum capital investment criteria. Note – Government may, by notification modify the above list.
2