Bangalore, September 4: In an effort to develop a strong IT ecosystem beyond Bengaluru, Karnataka government has offered a slew of sops for IT companies. According to an IANS report, the aim is to encourage them to set up shops outside the city.
IT, BT, Science and Technology Minister C.N. Ashwath Narayan as quoted in the report said, “We aim to also strengthen the ecosystem and boost growth in Tier 2 and Tier 3 cities of the state. The Minister was optimistic that over 60 lakh plus new jobs will be created in this sector.
In order to help IT companies, the government would be offering financial support to IT hubs and clusters of up to Rs 3 crore outside Zone 3. In the same way, players would also be eligible for financial support of Rs 2 crore outside Zone 3. In addition to this, stamp duty exemption — 75 per cent was also announced in Mysuru, Hubballi, Dharwad and Mangaluru, and 100 per cent for all other zones except Zone 3.
Among some of the sops announced, companies outside the zone will also be eligible for provident fund and ESI reimbursement of up to Rs 10 lakh.
As part of the other major initiatives, the government will consider incentives for mega projects above Rs 250 crore on a case by case basis. The state offered these attractions as part of its new IT policy for the period 2020- 25.