Single Window Systems in WB, Odisha, and Tax Holiday for Startups in Bihar: Insights from Assocham
IANS reports that Assocham’s recent study, focusing on the Ease of Doing Business in Indian States, highlights the importance of digitized and efficient single window systems across various states. Key insights include:
– State-Level Insights: The report covers detailed analysis from 18 states, including Andhra Pradesh, Bihar, Gujarat, Haryana, Kerala, Maharashtra, Odisha, and Punjab.
– Streamlined Processes: Establishing functional single window systems in West Bengal, Odisha, and Andhra Pradesh is recommended, featuring fixed approval timelines to enhance investment climates and competitiveness.
– Tax Incentives for Startups: A five-year tax holiday for recognized startups in Bihar is suggested to stimulate growth and innovation.
– Utilization of Resources: It recommends releasing underutilized PSU/government land for industrial development in Goa, delegating pre-approval checks to certified professionals, and empowering technical experts rather than commissioners for final approvals in Gujarat.
– Public-Private Partnerships: The proposal includes developing new industrial zones through PPP models and creating a Special Purpose Vehicle for each industrial estate in Jammu and Kashmir.
Assocham emphasizes the need to simplify land-use and zoning procedures and rationalize approval fees. Strengthening last-mile infrastructure like electricity and water access is crucial for boosting overall business competitiveness. Nirmal Minda, President of ASSOCHAM, asserts that despite previous policy reforms, businesses still face cumbersome compliance and approval processes.
Additional recommendations include:
– Converting most compliance requirements to self-declarations.
– Allowing companies to commence construction and hiring based on self-certification.
– Exempting first-time defaulters from penalties.
– Simplifying MSME loan and guarantee approval processes.
Specific state suggestions include repealing the Kerala Loading and Unloading Act for greater labor flexibility and transitioning to a 10-year factory and trade license model. In Maharashtra, allowing green cover on industrial land and implementing a pay-per-use model for water charges is proposed.
By adopting effective single window systems and simplifying regulations, states can significantly enhance their business environments, facilitating growth and innovation.