QUESTION

Urgently want to know, is there any tax incentive policy in GST for Telangana?

ANSWER

Facts of the case: Tax incentive policy for GST in Telangana.

Law applicable:  Government has announced T-Pride policy extending various incentives to the industrial enterprises. The following tax incentives are available in this policy:
1. Reimbursement of 100% net VAT/CST or SGST for a period of 5 years from the date of commencement of commercial production for Micro and Small industries.
2.  Reimbursement of 75% net VAT/CST or SGST for a period of 7 years from the date of commencement of commercial production for Medium small scale enterprises or up to realization of 100% fixed capital investment, whichever is earlier.
3.   Reimbursement of 50% net VAT/CST or SGST for a period of 5 years from the date of commencement of commercial production for Large scale industries  or up to realization of 100% fixed capital investment, whichever is earlier.

Conclusion: Telangana Government vide Circular No. 1131 has announced reimbursement of 100%/75%/50% of net VAT/CST or SGST for a period of 5/7/5 years to Micro and small, Medium scale enterprises, large scale industries respectively.
A copy of Circular is enclosed for your reference. (Reply dt.25.08.2020)