Haryana Tax Sops For Industry

The Haryana government has announced a series of concessions for trade and industry. Concessions included, reduction in the local area development tax to 2 per cent from 4 per cent, lowering of tax on industrial fuels to 4 per cent from 10 per cent and a lumpsum tax option for the plywood industry and sweetmakers.

The government had also decided to comply with the floor rates in case of diesel, said a spokesman of the excise and taxation department, here yesterday.

While the local area development tax will remains the same for crude oil, it has been increased to 8 per cent for petrol, high-speed diesel, super light diesel and light diesel.

Infotech units, companies manufacturing farm implements, units enjoying sales tax exemption and tax deferment, works contractors, brick kiln owners and textile units will have to pay tax on petrol, high-speed diesel, super light diesel and light diesel.

Industrial units have been allowed to purchase petroleum-based fuels except petrol, high-speed diesel, super light diesel and light diesel on payment of a 4 per cent local area development tax.

Automobiles and two- wheeler companies will now purchase petrol on payment of a 12 per cent tax for use in manufacturing.

Units set up under the export-oriented unit scheme, the export processing zone scheme, the electronic hardware technology park scheme and the software technology park scheme can purchase petrol, high-speed diesel, super light diesel and light diesel on payment of a 2 per cent tax for use in manufacturing of goods.

The tax so paid will be refunded in case of export sales. This refund will al