Industries association Gangyal raises concerns over delayed disbursement of turnover incentive

ENA State 2023-05-04 14:02:26 Jammu, May 4 (KNN) The delayed disbursement of the announced turnover incentive for existing industries has raised concern among the Association of Industries in Gangyal, Jammu. In a statement, the association pointed out that the government had initially provisioned Rs 50 crores for the incentive, but claims filed by industries have amounted to over Rs 200 crores. <a href="https://bit.ly/3B9mZSj"><img alt="FOLLOW US on GOOGLE NEWS" src="https://knnindia.co.in//uploads/gallery/GoogleNews.jpg" style="border-style:solid; border-width:1px; height:95px; margin:1px; width:299px" /></a> As per reports, the industry body has urged Lt Governor Manoj Sinha to increase the budget for the turnover incentive to meet the actual claims filed by existing industries. The existing industries have been under immense stress for survival since the introduction of GST and the abolition of toll tax, Rajesh Jain, President of the Association said. Jain added that before the introduction of the GST, the government had provided incentives such as full VAT remission and exemption of toll tax to keep the existing industries competitive and to help them survive. However, the current incentives, including the 2/3 per cent turnover incentive introduced in May 2021, are much smaller in comparison, he said. Under the turnover incentive scheme, eligible units are entitled to receive 2/3 per cent of their turnover for five years, starting from the financial year 2021-22, with a maximum incentive capped at Rs 50 lakh per year for each eligible unit. However, the eligible units have yet to receive the disbursement, causing liquidity stress, the association said. The government had recently introduced an attractive incentive scheme for setting up new industries, offering a reimbursement of nearly 400 per cent of capital invested in plant and machinery over a 10-year period. However, non-disbursement or delayed disbursement of already announced incentives can dishearten both existing and potential industrial units, Jain added. (KNN Bureau) 33220 https://knnindia.co.in/news/newsdetails/state/industries-association-gangyal-raises-concerns-over-delayed-disbursement-of-turnover-incentive 2023-05-04 14:02:26 knnindia.co.in Industries association Gangyal raises concerns over delayed disbursement of turnover incentive