City bizmen give thumbs up to govt nod to amend industrial policy

Ludhiana: City businessmen are upbeat over Punjab cabinet’s approval to amend the Industrial and Business Development Policy, 2017, for extension of GST formula for availing the incentives. The decision has been taken by the cabinet, based upon the feedback received from the industry associations for extending the last date of claiming the GST incentive.
The fiscal incentive under the present policy was only applicable for investment proposals received till March 31, 2020, on the Invest Punjab Business First portal, but now with the Cabinet decision, the GST formula notified on October 17, 2018, shall be extended for availing incentive under the Industrial & Business Development Policy, 2017, till October 17, 2022. Meanwhile, businessmen are of the view that the GST-based incentives should be rolled out for the existing industrial units too.
Commenting on the issue, Harish Kairpal, finance secretary of Knitwear Club, said, “The extension of the GST incentive for investment proposals in Punjab by more than two years is a great development and it will help in not only encouraging the investors, but will also bring more investment in the state. We are thankful to the state government, specially chief minister Amarinder Singh, for approving this formula. But at the same time we request him to consider bringing some GST linked incentive scheme for the existing industrial units as well.”
According to Dinesh Kalra, president of Ludhiana Business Forums, “We welcome the decision taken by the cabinet and it will go a long way in benefiting the economy of the state by attracting more investors and will also benefit the industrial units. At the same time, given the current circumstances, there is a dire need of rolling out incentives and subsidies for the old industrial units in the state, so that they get financial support in these turbulent times.”
Elaborating more about the development, a spokesperson of the state government, said, “To promote post-Covid industrial revival and attract greater investment, the Punjab cabinet on Friday gave approval to amend the Industrial & Business Development Policy, 2017, for extension of GST formula for availing incentives under the said policy till October 17, 2022. The move is also prompted by feedback/suggestions from certain industry associations for extending the last date of claiming the GST incentive, given in the notification dated October 17, 2018, and make this last date as coterminous till the expiry of the industrial policy of the state. The fiscal incentive under the present policy was only applicable for investment proposals received by March 31, 2020, on the Invest Punjab Business First portal. With the cabinet decision, the GST formula notified vide notification no. 4888 dated October 17, 2018, shall be extended for availing incentive under the Industrial & Business Development Policy, 2017 till October 17, 2022 (i.e. till the applicability of Industrial & Business Development Policy, 2017).”