As previously explored in the preceding article regarding the incentives extended by the government of Karnataka in the semiconductor sector, let us now proceed with a comparative assessment of these incentives in comparison to those offered by other states.
Reimbursement of patent filing costs
Reimbursement for patent acquisition costs:
R&D incentives for 5 years include:
Exemption from Payment of Stamp Duty and Concessional Registration Charges for the first 5 years. Reimbursement of Land Conversion Fee - 75% - Startups and MSMEs 50% - Large/Mega Enterprises
Provider: IDCO
Land Lease: 99 years
Payment Terms: Ground Rent: 1%, Cess: ~0.75%; Subsidies: 25% off for first five > INR 5000 Cr, 10% on first 200 acres for mega projects, 5% on first 50 acres for non-mega
KESDM companies in Karnataka get industrial tariff.
Associated industries also eligible.
Replaces commercial tariff.
Must follow KERC regulations.
Reimbursement of INR 2 per Unit of Industrial Electricity rates for 10 years from COD (Commercial Operations Date) of the Semiconductor Project.
100% exemption from Electricity Duty and Electrical Inspection fees for 10 years.
Electronics industry classified as industrial units for industrial power tariff.
Certificate granted for IT industry's power connections.
Incentive applies from Certificate issue.
Electronics firms allowed renewable energy from state under open access (up to one third of total power needs).
“The information contained herein is only for informational purpose and should not be considered for any particular instance or individual or entity. We have obtained information from publicly available sources, there can be no guarantee that such information is accurate as of the date it is received, or it will continue to be accurate in future. No one should act on such information without obtaining professional advice after thorough examination of particular situation.”
Prepared On: 17/10/23
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