Gujarat government has introduced an innovative IT/ITES policy for the period 2014-19 with the following features:
- duly facilitate allotment of land for IT/ITES units investing in the state.
- For those interested in developing IT/ITES technology parks the state government will give a 50 percent exemption in the fixed capital investment (cap of Rs 2.5 crore) in buildings and infrastructure facilities.
- State government will also provide all new IT/ITES companies with 100 percent relief in electricity duty for a period of five years from the date of commencement of operations.
- IT/ITEs units will also be given 100 percent exemption in stamp duty and registration fee for the sale/lease/transfer of land which will be limited to the first transcation.
- 100 percent reimbursement will be given to the units on EPF deposited for women employees and 75 percent reimbursement in case of male employees (ceiling of Rs 5 lakh per annum).
- interest subsidy for five years, seven percent subsidy on a sum of up to Rs 25 lakh annually and a five percent subsidy for up to Rs 35 lakh for IT/ITES MSMES.
The new IT policy comes just days after the state government had announced an Electronics Policy which targets an investment inflow of USD 6 billion by 2020. Other states may emulate the policy for job creation and economic development.