Aatmanirbhar Gujarat Scheme: 100% SGST Reimbursement for Mega IndustriesScheme StatusScheme Status

The Aatmanirbhar Gujarat Scheme for Assistance to Mega Industries is a major initiative by the Industries and Mines Department, Gujarat aimed at empowering the state’s mega-industries, contributing significantly to employment, GDP, and exports. The scheme, which is operational from October 5, 2022, to October 4, 2032, offers comprehensive support to encourage growth and investment in Gujarat’s manufacturing sector, aligning with the vision of “Aatmanirbhar Gujarat” and “Aatmanirbhar Bharat.”

The “Reimbursement of SGST Paid on Capital Goods” component provides 100% reimbursement of the SGST paid on capital goods, as per the provisions of the Gujarat GST Act, 2017, to eligible mega industrial units during their investment period.

Scheme Key Highlights (Short Summary)

Launched by: Industries and Mines Department, Gujarat
Duration: October 5, 2022 – October 4, 2032
Reimbursement: 100% SGST paid on capital goods
Maximum Support: No limit on the amount, but subject to eligible expenses
Disbursement: 20 annual installments after one year of commercial production
Eligibility: Mega industries with significant investment and employment

Benefits

100% reimbursement of SGST paid on capital goods
Long-term support: Assistance provided in 20 equal annual installments
• Reimbursement is based on capital goods acquired within the investment period specified by the scheme
• Eligible units can receive financial relief on taxes paid for capital goods used in manufacturing

Eligibility

• The applicant must be a Mega Industry operating as a manufacturing unit
• The unit must have a minimum investment of ₹2,500 crore in plant and machinery
• The unit must provide direct employment to at least 2,500 persons
• The unit must belong to one of the thrust sectors defined in the guidelines (Page No. 9)
• Capital goods must be acquired within the specified investment period
• The unit must commence commercial production within the timeline set by the scheme

Exclusions

• Goods not considered as capital goods under the Gujarat GST Act will not be eligible for reimbursement under this scheme.

Application Process

Online
Step 1: Visit the Investor Facilitation Portal (IFP)
Step 2: Click on “New Investor Registration” to fill out the registration form
Step 3: Submit the form and verify your email ID via the confirmation link sent to your email
Step 4: After verification, you will be successfully registered

Post-Registration Process
Step 1: Visit the IFP portal again and click “Login”
Step 2: Log in using the email and password from registration
Step 3: Fill in the required business details and upload the necessary documents
Step 4: Submit the application

Documents Required

Provisional Eligibility Certificate and Final Eligibility Certificate under the scheme
GST Registration with annexures
Affidavit in the prescribed format
CA certificate for the claim period (as per Annexure B)
Board Resolution/Power of Attorney for authorized signatory
Valid insurance policy for fixed assets
IEM Part-B / IL / LOP (First claim only)
GPCB NOC/Consent (if applicable)
C.A. Certificate for gross fixed capital investment (for expansion only)
Chartered Engineer certificate regarding installed capacity (for expansion only)
PAN Card and cancelled cheque (for the first claim)
Bank account statement
Self-declaration (as per Annexure)

Frequently Asked Questions (FAQs)

Q: What is the “Aatmanirbhar Gujarat Scheme for Assistance to Mega Industries”?
A: It is a scheme launched by the Government of Gujarat to support mega industries by providing SGST reimbursement for capital goods purchased during their investment period.

Q: When is the scheme operative?
A: The scheme is effective from October 5, 2022, to October 4, 2032.

Q: What are the objectives of the scheme?
A: To empower mega industries, encourage investments, create jobs, and strengthen Gujarat’s manufacturing sector.

Q: Who is eligible to benefit from the scheme?
A: Mega industrial units with a minimum investment of ₹2,500 crore and at least 2,500 employees.

Q: What is the “SGST Reimbursement for Capital Goods”?
A: It is a reimbursement of the SGST paid on capital goods used by eligible industries in the manufacturing process.

Q: Who is eligible for this scheme?
A: Mega industries in Gujarat that meet the investment and employment criteria and are engaged in manufacturing.

Q: How is the SGST reimbursement disbursed to eligible units?
A: It is reimbursed in 20 equal annual installments, starting one year after the unit’s commercial production.

Q: When does the reimbursement process begin for eligible units?
A: The reimbursement process begins after one year of the unit’s commercial production.

Q: What happens if a unit is not classified as a Mega Industrial Unit?
A: It will not be eligible for reimbursement under this scheme.

Q: Can a unit apply for reimbursement on capital goods purchased before the issuance of the Government Resolution (GR)?
A: No, only capital goods purchased after the issuance of the GR are eligible.

Q: Is there a limit on the amount of SGST reimbursement a unit can receive?
A: No specific limit, but reimbursement will be subject to the costs incurred for eligible capital goods.

Q: Can a unit apply for reimbursement on any type of capital goods?
A: No, only goods considered as capital goods under the Gujarat GST Act will be eligible.

Q: Does receiving the SGST reimbursement have any tax implications?
A: Receiving reimbursement may affect tax calculations for the unit, and it should consult with tax professionals for clarification.

Q: Can the SGST reimbursement be transferred to another unit?
A: No, the reimbursement is specific to the registered unit and cannot be transferred.

Q: Is the SGST reimbursement applicable only to new capital goods?
A: Yes, the scheme applies only to new capital goods.

Sources and References

• Guidelines 1
• Guidelines 2
• Guidelines 3
• Online Application Portal

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