MAKE IN INDIA

INTRODUCTION India has already marked its presence as one

of the fastest growing economies of the world. It has been ranked among the top 3 attractive destinations for inbound investments. The regulatory environment in terms of foreign investment has been consistently eased to make it investor-friendly.

Shankarlal Jain & AssociatesChartered Accountants

Make In India

RECENT POLICY MEASURES FOR FOREIGN DIRECT INVESTMENT 100% FDI allowed in the telecom sector. 100% FDI in single-brand retail. FDI in commodity exchanges, stock exchanges & depositories, power exchanges,

petroleum refining by PSUs, courier services under the government route has now been brought under the automatic route.

Removal of restriction in tea plantation sector. FDI limit raised to 74% in credit information & 100% in asset reconstruction

companies. FDI limit of 26% in defence sector raised to 49% under Government approval

route. Foreign Portfolio Investment up to 24% permitted under automatic route. FDI beyond 49% is also allowed on a case to case basis with the approval of Cabinet Committee on Security.

Construction, operation and maintenance of specified activities of Railway sector opened to 100% foreign direct investment under automatic route.

For details on FDI Policyhttp://www.sljainindia.com/AGN-WC2012-India-part2.pptxShankarlal Jain &

AssociatesChartered Accountants

Make In India

TAX EXEMPTIONS ELIGIBLE BUSINESS An enterprise producing eligible articles or business of Hotels,

Adventure sports, Medical Services and certain other eligible activities in North Eastern States

Development Special Economic Zone (SEZ) SEZ unit engaged in manufacturing of product or eligible services Undertaking engaged in processing bio-degradable waste for

generating power or producing bio-fertilizers etc. Income of Venture Capital co. & Capital fund and business trust from

investment Income of infrastructure debt fund An enterprise carrying on the business of developing or operating

and maintaining or developing, operating and maintaining infrastructure facility.

An undertaking which begins to generate or generate and distribute power or start transmission or distribution by laying a network or substantial renovation of such network before 31st March, 2017.Shankarlal Jain &

AssociatesChartered Accounts

Make In India

TAX EXEMPTIONS ELIGIBLE BUSINESS An undertaking providing telecommunication services In case of eligible housing project including redevelopment of

slum area Setting up and operating cold chain facility Setting up & operating warehousing facility for storage of

agricultural produce An undertaking is engaged in laying and operating a cross country

natural gas or crude or oil pipelines network for distribution chain facility.

Setting up 2 star or upper category of hotels Operating and maintaining a hospital in rural area. - The hospital

has at least 100 beds for patients An undertaking is engaged in developing housing projects in

scheme of Slum development approved by Central Government Building and operating housing project under scheme for

affordable housing framed by Government. Production of fertilizers

Shankarlal Jain & AssociatesChartered Accountants

Make In India

TAX EXEMPTIONS ELIGIBLE BUSINESS Setting up and operating inland container depot or a container

freight station An undertaking is engaged in bee – keeping and production of

honey Setting up and operating warehousing facility for storage of sugar Laying and operating a slurry pipeline for the transportation of iron

ore Setting up and operating a semi-conductor wafer fabrication

manufacturing unit Research & Development Expenditure Expenses incurred on approved in-house Research & Development by

an industrial undertaking : 200 % on capital Expenditure.

For details on Tax Exemptions Eligible Businesshttp://www.sljainindia.com/PresentTax.pdf

Shankarlal Jain & AssociatesChartered Accountants

Make In India