Goa State Logistics and Warehousing Incentives Scheme: Subsidy Towards Annual Interest Rate Payable On Loans
State: Goa
Ministry: null
Department: Commercial Taxes Department
Category: Business & Entrepreneurship
Beneficiary Type: Business Entity

The subsidy aims to support the logistics and warehousing sector by reimbursing 50% of the annual interest paid on construction loans. The benefit is capped at ₹25,00,000/- (Indian Rupees Twenty-five Lakhs) annually per project and is available for up to 05 consecutive years for eligible entities.

Benefits:
- Subsidy towards annual interest rate payable on loans.
- The subsidy rate is 50% of the annual interest amount payable by the entity on loans taken for the construction of projects.
- The entitlement per project shall not exceed an annual sum of ₹25,00,000/- (Indian Rupees Twenty-five Lakhs).

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##### ***Period of Subsidy***

- Standard projects are eligible for 03 consecutive years from the date the loan was taken.
- Projects constructed in Backward Talukas OR owned by Women Entrepreneurs/Entrepreneurs belonging to Schedule Caste/Schedule Tribe Communities are eligible for 05 consecutive years from the date the loan was taken.

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##### ***Subsidy Computation and Disbursal***

- The subsidy calculation will take into account the interest amount paid up to the end of the previous fiscal year, for the claim submitted for the year or part of the year.
- The subsidy calculation will be based on the actual interest amount incurred, as determined by the prevailing interest rate applicable to the concerned financial transaction.
- The reimbursement shall not include penal interest, liquidated damages, or similar charges paid to the financial institutions/banks.

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##### ***Claim Submission***

- If an Entity fails to file the annual claim after the first year, it may still submit the delayed claim in the following year, provided it falls within the overall subsidy eligibility period specified in Table 7.1.
- If interest cannot be claimed due to non-payment before filing, the unit shall be eligible to claim such interest subject to payment of the same in the subsequent year.

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##### ***Loan Compliance***

- In case of default in payment of term loan (i.e., not paid as per schedule of repayment) reimbursement of interest shall be reduced to the extent of default.
- Only the limit of original loan granted and not rescheduled loan shall be considered for interest reimbursement.
- In case an Entity procures loans from multiple financial institutions, the aggregate sum of interest paid across these loans shall qualify for subsidy consideration, provided the total claimed does not surpass the prescribed maximum allowable amount.
- In case of more than one unit with a consolidated balance sheet, a certificate from a Chartered Accountant giving interest details unit-wise shall be submitted by the applicant, and the claim shall be made only for the eligible unit.

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Eligibility:
- The applicant must be applicable only for non-mega industries.
- The applicant must own a business unit in Goa and provide Logistics and Warehousing services in Goa.
- The applicant must be a Logistics and Warehousing services provider.
- The applicant must have Permanent Account Number (PAN) and must regularly file the Income Tax Returns in the name of the legal entity.
- The applicant must be in continuous operations for a minimum period of six months post the date of notification of Logistics and Warehousing Policy 2023.
- The applicant must have incurred the expenses (loan availed) post the date of launch of the Logistics and Warehousing Policy 2023.
- The applicant must not have claimed similar benefit under any other scheme/program of State or Central Government.
- The applicant must provide minimum 40% local employment (employees who are employed continuously during the claim year and are on the payroll of the unit for that year shall be considered).
- The applicant must have availed the loan as term loan and/or working capital loan for conducting business of the unit claiming the benefit.
- The applicant must have procured the loan from a nationalized bank, scheduled private bank, Co-operative Bank, Economic Development Corporation Limited (EDC Ltd.), or any Non-Banking Financial Institutions recognized by the Reserve Bank of India.
- The applicant must ensure the relevant loan quantum for determining the subsidy is the aggregate amount borrowed for the construction of the project, including the cost of land acquisition and all construction-related expenses.
- The applicant must ensure the loan is not covered under the Modified Interest Rebate Scheme 2012, or the interest paid is not under the Chief Minister Rojgar Yojana Scheme or any other employment generation scheme of the Government of India/Government of Goa.

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##### ***Preference and Quantum Criteria***

- The benefit is subject to a first come first serve basis, contingent upon the availability of funds in a particular fiscal year.
- The quantum of benefit shall be defined by the proportion of Goan employees on payrolls:
- 60% or above Goan employment results in 100% of the benefits.
- More than 40% but less than 60% Goan employment results in 80% of the benefits.
- Less than 40% Goan employment results in ineligibility.

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##### ***Project Category and Minimum Land Area Requirements***
_The project must be one of the following eight categories, subject to the minimum land area specified:_
**Logistics Park (Multi-modal/Integrated), Inland Container Depot (ICD), Container Freight Stations (CFS)**

- Standard Minimum Land Area: 1 Acre
- Backward Talukas/SC/ST/Women Minimum Land Area: 1 Acre.

**Air Freight Stations (AFS)**

- Standard Minimum Land Area: 1,000 square meters
- Backward Talukas/SC/ST/Women Minimum Land Area: 1,000 square meters.

**Warehouses, Truck Terminals**

- Standard Minimum Land Area: 1,000 square meters
- Backward Talukas/SC/ST/Women Minimum Land Area: 500 square meters.

**Cold Chain Unit, Testing Facilities**

- Standard Minimum Land Area: 200 square meters
- Backward Talukas/SC/ST/Women Minimum Land Area: 100 square meters.

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Application Process:
[Online]
*The entity who wishes to avail incentives must first be registered on the Goa Online portal (www.goaonline.gov.in) and must have already obtained necessary business approvals through the portal.
Step 1: Visit the Official Web Portal of Goa Online. At the top right corner, click "Register".
Step 2: On the next page, verify your Email ID and Mobile Number using OTP. You will be redirected to the Registration Page.
Step 3: On the Registration Page, fill in all the mandatory fields of the registration form. Create a Login Name and a strong Password. Carefully read the Declaration and the Terms & Conditions, and tick the checkboxes. Fill in the Captcha Code, and click "Register/Signup".
Step 4: Login to the website using your Login Name and Password. Fill in the Captcha Code, and click "Login".
Step 5: In the top ribbon, click on "Services", then click on "IT Services". Click on "Incentives on Logistics and Warehousing Sector". You will be taken to the application form for the scheme. Fill in all the mandatory fields and upload all the mandatory documents.
Step 6: Submit the application. A unique registration number will be generated. Note this number for future reference.
Post-Application ProcessesStep 1: Upon receiving the application, the DITC should raise any queries to the applicant regarding shortfalls in the application form or submitted documents. After verification, the DITC designates an official to inspect the Entity, verify all records/documents, including verifying the list of structures created and civil works completed as per the Civil Engineer Certificate (Annexure X). The inspecting officers are required to upload the inspection reports to the portal within 48 hours.
Step 2: The application and Inspection Report are subsequently marked to the Chief Executive Officer, Goa Investment Promotion and Facilitation Board (Goa-IPB) for due diligence. Following the recommendation from the CEO (Goa-IPB), the DITC prepares an appraisal note to be placed before the Incentive Review Committee (IRC).
Step 3: The DITC calls for the IRC meeting where the committee deliberates on the incentive application, scrutinizes the details, and sanctions the claims. The decisions of the IRC are final and binding in sanctioning the incentives and deciding the eligible investment.
Disbursement of Funds After receiving IRC recommendations, DITC prepares an approval note for the Accounts Department to process the disbursement. The DITC disburse funds to the entities, observing the chronological order of sanctions approved by the IRC. The entire process, from application receipt until amount disbursement, must be completed within a maximum period of 90 days.

Documents Required:
CA Certified Details Of Shareholding Pattern For Paid-Up Capital (For Women Entrepreneurs Only).
Caste Certificate In Case Of Schedule Caste/Schedule Tribe Entrepreneurs.
Detailed Project Report, Self-Attested.
Approved Project Cost Duly Certified By Chartered Engineer (Civil).
Item Wise And Cost Wise Details Of Civil Works Envisaged Duly Certified By Chartered Engineer (Civil).
Approved Area Certificate By Town & Country Planning Department.
Implementation Schedule Indicating Dates For Acquiring Land, Start Of Construction, Completion Of Infrastructure, And Commencement Of Commercial Operation.
Bank Proof (Passbook/Cancelled Cheque Leaf).
Interest Paid Certificate (Issued By Bank On Its Official Letterhead).
Loan Disbursement Certificate (Issued By Bank On Its Official Letterhead).
Bank Certificate On Status Of Loan (Issued By Bank On Its Official Letterhead).
Term Loan Sanction Letter.
Certificate From Chartered Accountant Giving Interest Details Unit-Wise (In Case Of More Than One Unit With A Consolidated Balance Sheet).