To attract investment and with object of increase in employment in Maharashtra, Maharashtra government launched “Maharashtra Industrial Policy 2019”. This policy gives subsidy benefit for New units as well as expansion of existing unit. This policy came into effect from date 1 April 2019 and will be applicable for period of five years. Means the New Manufacturing units and expansion projects of existing units after 1 April 2019, will be applicable for claim this subsidy.
As per the definition of Government of India MSMED Act, 2006, the units which are having Fixed Capital investment upto 50 Cr. falls in category of MSME and the subsidy benefits for these industries are as follows.
| Benefits | Details |
|---|---|
| State Goods and Services Tax (SGST) | Industrial Promotion Subsidy (IPS) ofSGST payable will be refunded in cash for first sale of eligible products billed and delivered within Maharashtra. This subsidy benefits subject to eligible amounts as per Eligibility Certificate of respective unit |
| Interest subsidy | Interest Subsidy @ 5 per cent per annum up to maximum of value of electricity consumed and bills paid for that year or actual interest paid to bank whichever lower |
| Stamp duty exemption | 100 % exemption from stamp duty for purchase of land , lease rights and for term loan |
| Electricity duty exemption | 100% Exemption on electricity duty for tenure equal to eligibility period for new units |
| Power Tariff Subsidy | Power tariff subsidy for new eligible units for three years from commencement of commercial production. Units located in Vidharbha, Marathwada, North Maharashtra and districts of Raigad, Ratnagiri and Sindhudurg will be to the extentof INR 1 per unit consumed Other areas, to the tune of INR 0.50 per unit consumed |
| Technology Upgradation | 5% Subsidy on capital equipment for Technology Up gradation limited to Rs.25 lakhs, applicable in case of expansion only |
| Quality Certification | 75% Subsidy on expenses incurred on quality certification limited to Rs.1 lakhs |
| Cleaner Production measures | 25% Subsidy on capital equipment for cleaner production measures limited to Rs.5 lakhs |
| Patent Registration | 75% Subsidy on expenses incurred on patent registration limited to Rs.10 lakhs fornational and Rs.20 lakhs for international patents |
| Water Audit | Incentives for 75% of the cost of water audit limited to Rs.1 lakh |
| Energy Audit | Incentives for 75% of the cost of energy audit limited to Rs.2 lakh |
| To Conserve or recycle water | Incentives for 50% of the cost of capital equipment to conserve /recycle water limited toRs.5 lakh |
| Improving Energy Efficiency | Incentives for 50% of the cost of capital equipment for improving energy efficiencylimited to Rs.5 lakhs |
| Listing in stock Exchange | First 250 SMEs, which fulfilled criteria of listing and enlisted on the SME Stock Exchange, Mumbai will be given refund of listing expenses upto 6 Lakh or at actual as certified by C.A., whichever lower |
Note- Incentive amount is subject to area A, B, C, D and other area as mentioned in Industrial Policy 2019. To know the eligible subsidy amount as per policy, please refer to subsidy calculator.
| Benefits | Details | |
|---|---|---|
| State Goods and Services Tax (SGST) | Investment Promotion Subsidy (IPS) on 50 % of Gross SGST payable by the unit on the first sale of eligible product(s) billed and delivered within Maharashtra. | |
| Stamp duty exemption | New Units as well as Units undertaking Expansion / Diversification will be exempted from payment of Stamp duty during the Investment period in Group C, D, D+ Talukas, No Industry Districts, Aspirational Districts and Naxalism affected areas for acquiring land (including assignment of lease rights and sale certificate) and for term loan purposes | |
| Electricity duty exemption | All Eligible New Units in Group C, D, and D+ areas and No-Industry District(s), Aspirational Districts and Naxalism affected Area will be exempted from payment of Electricity Duty during applicable eligibility period | |
As per the Maharashtra Industrial Policy 2019, Large Scale Unitare those units which fulfills following criteria. .
| Taluka / Area Classification | Minimum Qualifying Fixed Capital Investment(INR crore) | Minimum Direct Employment (number of people) |
|---|---|---|
| A & B (Only LSI) | 750 | 1000 |
| C | 500 | 750 |
| D | 250 | 500 |
| D+ | 150 | 400 |
| Vidarbha, Marathwada, Ratnagiri, Sindhudurg & Dhule | 100 | 300 |
| No Industry Districts, Naxalism Affected Areas* and Aspirational Districts** | 100 | 250 |
| * Naxalism affected areas as per Government Resolution No.: PSI -2013 / (CR- 54)/IND-8 Dated 1st April 2013 issued by Government of Maharashtra Industries, Energy and Labour Department.** Aspirational Districts - Osmanabad, Gadchiroli, Washim and Nandurbar | ||
Note- Incentive amount is subject to area A, B, C, D and other area as mentioned in Industrial Policy 2019. To know the eligible subsidy amount as per policy, please refer to subsidy calculator.
Those units which are having Fixed Capital Investment above 50 Cr, however not able to meet criteria of Large scale Units are called as Special Large Scale Units and benefits are as follows.
| Benefits | Details |
|---|---|
| State Goods and Services Tax (SGST) | Eligible Special LSI units shall be offered Industrial Promotion Subsidy (IPS) @ 40 % of NET SGST paid by the unit on the first sale of eligible product(s) billed and delivered within Maharashtra. However, units falling under this category located in "A" & "B" Zones will not be eligible for Incentives |
| Stamp duty exemption | New Units as well as Units undertaking Expansion / Diversification will be exempted from payment of Stamp duty during the Investment period in Group C, D, D+ Talukas, No Industry Districts, Aspirational Districts and Naxalism affected areas for acquiring land (including assignment of lease rights and sale certificate) and for term loan purposes |
| Electricity duty exemption | All Eligible New Units in Group C, D, and D+ areas and No-Industry District(s), Aspirational Districts and Naxalism affected Area will be exempted from payment of Electricity Duty during applicable eligibility period |
Note- Incentive amount is subject to area A, B, C, D and other area as mentioned in Industrial Policy 2019. To know the eligible subsidy amount as per policy, please refer to subsidy calculator.