Goa IT Policy seeks to woo IT industry

Goa government has announced the long overdue IT policy, which besides giving
several sops to the IT industry, also focuses on streamlining the administration
for e-governance.

Announcing the policy, Goa IT minister Francisco D'Souza said that the
policy has attempted to match the incentives offered by other states to IT/ITES
industries so that the prospective industries indenting to invest in Goa are not
placed at a disadvantage. However, he added that Goa has an edge over its
counterparts due to its inherent strengths such as high literacy and good
quality of life.

While enumerating various measures to entice IT industries in the state, D'Souza
said that proposals of investment exceeding Rs 50 crore and industrial houses
amongst top 20 companies, as per NASSCOM annual listing, will be provided land
at institutional rates.

The policy lists number of other incentives such as sales tax exemptions for
IT/ITES industry extended by five years, local employment by IT/ITES companies
to be rewarded to the extent of 30 percentof salary, Stamp Duty reimbursement to
IT/ITES units operating in IT designated areas, Higher FAR to IT/ITES units in
IT designated areas, Preferential Power Tariff for IT/ITES to be announced to
the industry that requires service levels of 99.99 percent uptime.

The policy further states that the domicile requirements will be relaxed for
children of employees of IT/ITES companies working in Goa in order to ensure
growth of the Industry in Goa. Like other states, the IT/ITES units in Goa will
be deemed establishments and will be granted exemption from shift restrictions.

Registered IT/ ITES units that avail loans from the State-owned Economic
Development Corporation will be reimbursed amounts equal to interest charges
payable at the rate of two percent interest on the loan.

There is also institution of 'Outstanding Contribution Award' of Rs 10
lakh each year to IT/ITES industry contributing to the state economy and
employment. The government has also expressed its intentions to promote
broadband access, connectivity and local Internet exchange to make Goa a plug
and play economy.

Setting up of R&D parks, strategic alliances with R&D initiatives and
providing seed funding to encourage start-ups for developing indigenous products
and services based on R&D are some of the other features in the policy.

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