Raja pitches for extension of STPI for 3 more yrs

Telecom and IT Minister A Raja today met Prime Minister Manmohan Singh to pitch for the extension of tax sops enjoyed by the IT firms for another three years.     

Under the Software Technology Park Scheme (STPI), the IT units enjoy tax benefits under sections 10 A and 10 B.     

The tax benefits under the STPI which was set to lapse in March 2009, was extended till March 31, 2010.     

Official sources said that Raja met Singh in the morning and briefed him about the benefits of extending exemption under the scheme.     

Raja also requested the Prime Minister to form an IT task force with representation from the IT industry and eminent personalities, who would help the government in forming policies.     

The task force is likely to give impetus to the growing sector and help the government bring in more investment into the country, sources said.     

Raja had earlier indicated that he would take up the issue with Finance Minister Pranab Mukherjee before the presentation of Budget 2009-10.     

If the STPI scheme is extended for another three years it will give the domestic IT firms a shot in arm, who were hit by the global recession.