Assistance for Intellectual Property Protection Support" under "Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives

Description
"Assistance for Intellectual Property Protection Support" under "Motivation of Entrepreneurs to Start Industries and Fiscal Assistance to Industries - Various Incentives" is a scheme by the Industries and Commerce Department, Union Territory of Puducherry. The scheme came into force with effect from 1st April 2017 and is in operation in the whole of the UT of Puducherry. Through this scheme, assistance of 50% is provided subject to a maximum of ₹2,00,000/- for the expenditure for obtaining domestic patent ₹5,00,000/- for international patent . The applications are accepted offline in the prescribed form available on the Official Website of the Department.

Benefits
• Assistance @ 50% subject to a maximum of ₹2,00,000/- for the expenditure for obtaining domestic patent (₹5,00,000/- for international patent).
• After the publication/notification of the patent.
• In single or multiple instalments, depending on the availability of funds.
• The subsidy amount shall be disbursed through the financial institutions/banks only, if the unit is financed by them, towards the adjustment against the loan availed by the entrepreneurs or for the creation of additional fixed assets or for working capital purposes.
• In the case of self-financed units, the subsidy shall be disbursed directly to the entrepreneur/unit.
• *The financial institution shall mean and include PIPDIC or any other Government Corporation, Scheduled Banks including Co-operative Banks.

Eligibility Criteria
1. - All the Micro, Small, Medium and Large Industries are eligible.
2. - The Unit should have made the investment on or after 1st April 2017.
3. - The unit should provide at least 60% of employment to the people of the Union territory of Puducherry of the total employment strength of the industrial units. This 60% of the local employment will have to be maintained by the industrial unit during the period specified in the Affidavit.
4. - The fees paid to patent attorney, patent service centre and patent registration will be eligible as cost/expenditure (excluding travel, hotel charges) for any patent registration.
5. - The industrial unit shall not transfer or dispose of the fixed asset including plant and machinery in any manner till the completion of 5 years from the date of submitting the application/disbursement of the subsidy whichever is later.
6. - The additional investments made by the new/existing industrial units after availing the first claim are also eligible for subsidy up to the ceiling limit.
7. _*The date of commencement as admitted by the entrepreneurs shall be reckoned after due verification by the officials of the Industries Department._
8. > **Special Cases**
9. If, two or more industrial undertakings are set up by the same person as proprietor, common partners, common Board of Directors/shareholders, such units are eligible for subsidy as separate entity provided the location of the unit are different and licenses /clearances/ registrations are obtained separately for the enterprises.

Application Process
Step 1: Step 1: The industrial unit should register the claim for the grant of incentive/subsidy in the prescribed form available on the Official Website of the Directorate of Industries and Commerce, Puducherry.
Offline
Step 1: The industrial unit should register the claim for the grant of incentive/subsidy in the prescribed form available on the Official Website of the Directorate of Industries and Commerce, Puducherry.

Step 2: Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Offline
Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).

Step 3: Step 3: The unit should submit the duly filled and signed application form and the documents to the concerned authority.
Offline
Step 3: The unit should submit the duly filled and signed application form and the documents to the concerned authority.

Step 4: Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application form has been submitted. Ensure that the receipt contains essential details such as the date and time of submission, and a unique identification numb…
Offline
Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application form has been submitted. Ensure that the receipt contains essential details such as the date and time of submission, and a unique identification number (if applicable).

Step 5: Step 1: The applications shall be scrutinized by the Directorate of the Industries on merit basis for the grant of incentives/subsidies/assistances to determine the quantum of amount admissible will be placed before the State Level Committee.
Offline
Step 1: The applications shall be scrutinized by the Directorate of the Industries on merit basis for the grant of incentives/subsidies/assistances to determine the quantum of amount admissible will be placed before the State Level Committee.

Step 6: Step 2: The State Level Committee will go into the merits of each case to decide whether the unit qualifies for the grant of incentive/subsidy and will recommend the quantum of incentive/subsidy admissible to the unit.
Offline
Within 1 year from the date of publication/notification of the patent.

Required Documents
• Entrepreneurs Memorandum Part-2 (UAM/ PMT) Registration/ Commencement of Production Certificate.
• Chartered Accountant Certificate for Payment Made to Quality Certifying Agency/ Patent Attorney/ Technical Providing Institution & Agency.
• Approval from the Quality Council of India for the Certifying Agency.
• Quality Certificates.
• Receipt for Payment to the Quality Certifying Agency (if Applicable).
• Patent (if Applicable).
• Receipt for Payment to the Patent Attorney (if Applicable).
• Registration Certificate of Membership with Export Promotion Council / Federation of Indian Export Organisation (FIEO).
• Prior Approval of the Director of Industries and Commerce for Participation in the Exhibition/Trade Fair.
• Receipt for Payment to the Exhibition Organiser for Rent/Space.
• Bill/Invoices for Printing Charges of Literature and Display Material.
• Chartered Accountant Certificate for Payment Made to the Exhibition Organiser, Literature, and Display Material.
• Original Copy of the Catalogue/Printing Material Prepared for Exhibition/Trade Fair.
• Brochure/Catalogue of Exhibition/Trade Fair.
• Photographs of the Applicant's Stall in the Exhibition/Trade Fair.
• Recognition/Accreditation for Energy/Water Auditing Institution/Consultant (if Applicable).
• Energy/Water Audit Report.
• Chartered Accountant Certificate for Payment Made to the Energy/Water Audit Institution/Agency.
• Receipt for Payment to the Energy/Water Institution/Agency.

Frequently Asked Questions
Q: How are units categorized based on the commencement of commercial production?
A: Units commencing production on or after April 1, 2017, are considered new industries, while those before this date are deemed existing units.

Q: Who prescribes the subsidy forms under the scheme?
A: The Directorate of Industries and Commerce prescribes the subsidy forms.

Q: How can the Government recover amounts due under the subsidy scheme?
A: Amounts due to the Government can be recovered as arrears of land revenue under the Revenue Recovery Act in case of default.

Q: Under what circumstances is investment subsidy liable to be refunded?
A: Investment subsidy must be refunded with 14% interest if availed through misrepresentation, forgery, or if the unit is inactive for five years from subsidy receipt.

Q: What are the consequences of failing to maintain 60% local employment as stated in the Affidavit?
A: Failure to maintain 60% local employment may result in repercussions outlined in the Affidavit.

Q: What reporting obligations do industrial units have to fulfil?
A: Industrial units must provide production, employment, and other information as required by the Industries and Commerce Department.

Q: What is the restriction on the transfer of fixed assets by industrial units?
A: Units cannot transfer fixed assets, including plant and machinery, until five years from the application or subsidy disbursement date, whichever is later.

Q: How are multiple industrial undertakings by the same person treated for subsidy eligibility?
A: Multiple units by the same person are eligible as separate entities if they have different locations and obtain licenses separately.

Q: Can an industrial unit apply for subsidies if it has received subsidies from other agencies?
A: No, units that have received subsidies from other agencies are ineligible to apply for subsidies under this Scheme.

Q: What conditions determine the instalment disbursement of subsidies?
A: Subsidies can be disbursed in single or multiple instalments based on fund availability.

Q: Who is eligible for subsidy disbursal directly from the government?
A: Self-financed units are eligible for subsidy disbursal directly from the government.

Q: How is the subsidy amount disbursed for units financed by financial institutions?
A: The subsidy amount is disbursed through financial institutions/banks, either for loan adjustment or the creation of additional fixed assets or working capital.