About this business scheme
The new IT/ITES industrial unit which started production on or after 6-11-2002 are provided with subsidy on the investments made on plant and machinery @ 20% thereon subject to a maximum of Rs. 20,00,000/- for the large, medium, small and micro enterprises during the period of operation of the scheme.
The "Capital Investment Subsidy: Information Technology (IT) / Information Technology Enabled Services (ITES) Industries" is a Component of the "Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries" Scheme by the Department of Industrial Development (Industries and Commerce), Union Territory of Puducherry. The new IT/ITES industrial unit which started production on or after 6-11-2002 are provided with subsidy on the investments made on plant and machinery @ 20% thereon subject to a maximum of Rs. 20,00,000/- for the large, medium, small and micro enterprises during the period of operation of the scheme. The applications are accepted offline in the prescribed form available on the Official Website of the Department.
Benefits at a glance
| Scheme name | “Capital Investment Subsidy: Information Technology (IT) / Information Technology Enabled Services (ITES) Industries” under “Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries” (CIS:IT/ITES-MESIFAI) |
|---|---|
| Launched by | Industries and Commerce Department, Puducherry |
| Benefit type | Cash (money paid to your bank account) |
| Category | Business |
| Level / State | State · Puducherry |
| Official portal | industry.py.gov.in (link at the end of this page) |
Key facts
| Scheme for | Infra |
|---|---|
| Application mode | Offline |
| Last date | Ongoing (no last date notified) |
| DBT (direct bank transfer) | No |
| Age | 18 to 80 years |
Who can apply (quick check)
- 👤All genders
- 🎂Age 18 to 80 years
- 📝Offline
Quick check from official data. Full conditions are in the Eligibility section.
What you receive
Subsidy on the investments made on plant and machinery @ 20% thereon subject to a maximum of Rs. 20,00,000/- for the large, medium, small and micro enterprises during the period of operation of the scheme.
Number of Installments
The subsidy shall be disbursed in a single instalment.
Mode of Disbursement
In the case of Units Financed by Financial Institutions/Banks, the subsidy amount shall be disbursed through the financial institutions/banks only, towards the adjustment against the loan availed by the entrepreneurs or for the creation of additional fixed assets or working capital purposes.
In the case of Self-financed Units, the subsidy shall be disbursed directly to the entrepreneurs.
Who qualifies
The applicant should be a new IT/ITES industrial unit which started production on or after 6-11-2002.
Who is not eligible
The second hand machinery is not eligible.
Papers to keep ready
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General Documents
Scheme-Specific Documents
Case-Specific Documents
In the case of Second Hand Machinery, an affidavit stating that the subsidy has not been availed of from the Central Government or any State or Union Territories.
Registration walkthrough
Offline
Step 1: The industrial unit should register the claim for the grant of incentive/subsidy in the prescribed form available on the Official Website of the Directorate of Industries and Commerce, Puducherry.
Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Step 3: The unit should submit the duly filled and signed application form and the documents to the concerned authority.
Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application form has been submitted. Ensure that the receipt contains essential details such as the date and time of submission, and a unique identification number (if applicable).
*The State Level Committee will go into the merits of each case to decide whether the unit qualifies for the grant of incentive/subsidy.
Application Deadline
For New Units
Within one year from the date of commencement of obtaining the Entrepreneurs Memorandum Part-2/ Permanent Registration/ Commencement of Production Certificate.
For Existing Units
Within one year of completion of Expansion/ Diversification/ Modernization.
Frequently asked questions
Can the subsidy amount be utilized for both working capital and fixed assets by units financed by financial institutions/banks?
Yes, for units financed by financial institutions/banks, the subsidy amount can be utilized for both loan adjustment and the creation of additional fixed assets or working capital.
Does the scheme encourage expansion, diversification, and modernization of existing units, and how is this reflected in the application deadline?
Yes, existing units are encouraged to apply within one year of completion of expansion, diversification, or modernization projects.
Is there a specific location for obtaining the application form for the IT/ITES subsidy, and is there a cost associated with it?
The application form can be obtained free of cost from the Official Website of the Directorate of Industries and Commerce, Puducherry.
What is the role of the Public Works Department (PWD) or Pondicherry Industrial Promotion Development and Investment Corporation (PIPDIC) in the IT/ITES subsidy application process?
An engineer's certificate for building valuation assessed by PWD/PIPDIC is required, emphasizing the importance of their role in assessing building valuations.
Are there any specific requirements for valuation assessment of fixed assets or pollution control equipment in the IT/ITES subsidy application?
Yes, a chartered accountant certificate is necessary for assessing the investment in fixed assets, pollution control equipment, and generators.
What is the significance of the Notary Affidavit in the case-specific documents for the IT/ITES subsidy application?
In case of second-hand machinery, the Notary Affidavit is crucial as it states that the subsidy has not been availed from the Central Government or any State or Union Territories.
What role does the Directorate of Sustainable Technologies and Environmental (DSTE) play in the IT/ITES subsidy application process?
DSTE provides certificates for the installation of pollution control equipment, air/water consent orders, and other necessary environmental certifications.
How does the scheme ensure compliance with environmental regulations, and what documents are needed for this purpose?
The scheme requires documents such as air/water consent orders obtained from the Directorate of Sustainable Technologies and Environmental (DSTE) to ensure compliance with environmental regulations.
Is there a different application deadline for existing units, and how is it determined?
Existing units must apply within one year of completing Expansion/Diversification/Modernization.
What is the application deadline for new units to apply for the IT/ITES subsidy, and how is it calculated?
New units must apply within one year from the date of obtaining the Entrepreneurs Memorandum Part-2/Permanent Registration/Commencement of Production Certificate.
What is the eligibility criterion for an industrial unit to apply for the IT/ITES subsidy?
The applicant should be a new IT/ITES industrial unit that commenced production on or after 6-11-2002.
In the case of self-financed units, how is the subsidy disbursed?
For self-financed units, the subsidy is disbursed directly to the entrepreneurs.
Submit your application yourself on the official portal; it costs nothing. Treat anyone demanding money to "get you approved" as a scam.
- Guidelines industry.py.gov.in (PDF)
- Grievance Redressal industry.py.gov.in
- Helpline industry.py.gov.in
tsmpb.in is not affiliated with any government department. Apply only on the official portal and never pay anyone for an application.
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