(a) whether the Government has given exemption of excise duty to various States;
(b) if so. the reasons therefor and the period for which such exemption was provided, State-
wise;
(c) whether the Government has made any assessment of excise exemption to such States;
(d) if so, the details thereof and action taken/being taken thereon;
(e) whether the Government has received any representations for extension of excise duty; and
(f) if so, the details thereof and action taken thereon?
MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI S.S. PALANIMANICKAM)
(a): Yes, Madam. Government had provided exemption from excise duty to goods cleared from
new industrial units or units that have undertaken substantial expansion in the states
of Jammu and Kashmir, Uttarakhand, Himachal Pradesh, Sikkim, the seven North Eastern states.
(b): These exemptions were granted to attract durable investment in manufacturing
industry and promote development in the industrially backward areas. The exemption
is available for a period of ten years from the commencement of commercial production.
The terminal date for setting up of new units or for existing units to undertake
substantial expansion is as under:
State/Region Time limit for new units to be set up or existing units to undertake substantial expansion
(i) North Eastern States 31.3.2017
(ii) Jammu & Kashmir No time limit
(iii) Sikkim 1.03.2017
(iv) Uttarakhand 31.03.2010
(v) Himachal Pradesh 31.03.2010