Excelsior Correspondent
JAMMU, May 22: Lalit Mahajan, Chairman Federation of Industries Jammu, has urged Lt Governor Manoj Sinha and Chief Minister Omar Abdullah to intervene for the grant of State Budgetary allocation for existing Industrial Units as on 01-04-2021 and units under substantial extension after 01-04-2021 for their survival.
It is pertinent to mention here that Govt of India notified an Industrial Package in 2021 by the virtue of which Gross GST Reimbursement Incentive under the New Central Sector Scheme 2021 is applicable for the new units and not to the existing units as on 31-3-2021 on the Substantial Expansion/ Additional Items/Change in the line of activity whereas in all the previous notifications issued by Govt. of India in 2002, 2012, 2017 the fiscal incentives have been granted at par with the new units to those who opt for the substantial expansion with the Additional Items /Change in the Line of Activity.
“Due to denial of Gross GST on the Substantial Expansion to Existing Units, the viability of the old working units as on 31-03-2021 is at stake owing to stiff competition with new units resulting in possible future of such old units,” said Lalit Mahajan, in a statement issued here today.
He stressed that providing the Gross GST Incentive on the investment of plant and machinery to existing units which opt for the substantial expansion, additional items / change in the line of activity is need of the hour not only for survival of these units but also to generate additional employment opportunities for the local youth.
He demanded enhancing the budgetary allocation for Turnover Incentive on the Actual Turnover basis without any capping, ensure timely Turnover Incentive & GST Reimbursements by State Industries/ Finance Department, reimbursement of Gross GST Linked Incentive (CGST/SGST) to Working Industrial Units & Units under Substantial Expansion and marketing support in the shape of Price/Purchase Preference.
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