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Employment Incentive under Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives
Through the Employment Incentive scheme, Wage/Employment subsidy of 20% wage/salary up to a maximum of ₹5,00,000/- per annum, in case of workers who are covered under Provident Fund (PF), will be granted. The applications are accepted offline in prescribed form available on the Official Website.
About This Scheme
Benefits
₹5.0 L · annual
- Subsidy: Wage/Employment Subsidy of 20% Wage/Salary.
- Ceiling: ₹5,00,000/- per annum.
- Number of Installments: In single or multiple instalments, depending on the availability of funds.
- Period: 5 years for Puducherry and Karaikal regions. 7 years for Mahe and Yanam regions.
- Mode of Disbursement: The subsidy amount shall be disbursed through the financial institutions/banks only, if the unit is financed by them, towards the adjustment against the loan availed by the entrepreneurs or for the creation of additional fixed assets or for the working capital purposes. In case of self-financed units, the subsidy shall be disbursed directly to the entrepreneur/unit.
*The financial institution shall mean and include PIPDIC or any other Government Corporation, Scheduled Banks including Co-operative Banks.
Eligibility
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All the Micro, Small, Medium and Large Industries are eligible.
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The Unit should have made the investment on or after 1st April 2017.
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The unit should provide at least 60% of employment to the people of the Union territory of Puducherry of the total employment strength of the industrial units. This 60% of the local employment will have to be maintained by the industrial unit during the period specified in the Affidavit.
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The unit should provide direct employment to at least 10 persons.
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The workers should be covered under Provident Fund (PF).
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The industrial unit shall not transfer or dispose of the fixed asset including plant and machinery in any manner till the completion of 5 years from the date of submitting the application/disbursement of the subsidy whichever is later.
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The additional investments made by the new/existing industrial units after availing the first claim are also eligible for subsidy up to the ceiling limit.
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> Special Cases
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If, two or more industrial undertakings are set up by the same person as proprietor, common partners, common Board of Directors/shareholders, such units are eligible for subsidy as separate entity provided the location of the unit are different and licenses /clearances/ registrations are obtained separately for the enterprises.
Required Documents
- ✦Entrepreneurs Memorandum Part-2 (UAM/ PMT) Registration/ Commencement of Production Certificate.
- ✦Loan Sanction Letter.
- ✦Purchase Invoices for Plant & Machinery/ Pollution Equipment/ Generator.
- ✦Chartered Accountant Certificate for the Investment in Fixed Assets / Pollution Control Equipment / Generator.
- ✦Month-wise Interest Paid Statement from the Finance Institution/Bank Along with No-due Certificate.
- ✦List of Employees Covered Under the Provident Fund Scheme Along with Wage/Salary Payment Particulars.
- ✦Provident Fund Remittance for the Claiming Period.
- ✦Notary Affidavit.
✦ Required ◦ Optional
How to Apply
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).
Post-Application ProcessStep 1: The applications shall be scrutinized by the Directorate of the Industries on merit basis for the grant of incentives/subsidies/assistances to determine the quantum of amount admissible will be placed before the State Level Committee.
Step 2: The State Level Committee will go into the merits of each case to decide whether the unit qualifies for the grant of incentive/subsidy and will recommend the quantum of incentive/subsidy admissible to the unit.
Application DeadlineFor 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.
Quick Info
- Level
- Central Government
- Max benefit
- ₹5.0 L
Available In
Categories
Data Sources
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed Today
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed 8 days ago
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed 15 days ago
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed 23 days ago
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed 1 months ago
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed 1 months ago
- https://www.myscheme.gov.in/schemes/ei-mesifai-vi ↗Accessed 1 months ago
