Tamil Nadu Unveils New ICT Policy, Promises Sops Galore To Attract IT/ITES And Start-Ups

The Tamil Nadu government unveiled its Information Communication Technology (ICT) Policy, 2018, with a promise to extend numerous exemptions/incentives in a bid to attract companies in the Information Technology (IT) and IT Enabled Services (ITes) space.

The new policy, coming after a gap of 10 years, offers capital subsidies ranging from Rs 30 lakh to Rs 1 crore, a 50 per cent additional subsidy over and above eligible limits and a slew of incentives for investments in ‘B’ and ‘C’ districts.

Along with the announcements of incentives/exemptions, the government has also formulated plans to establish IT parks in the districts of Ramanathapuram and Cuddalore. The government has also proposed to start a Technology Forum which will look at growth and educational opportunities in new-age technologies like Artificial Intelligence, Machine Learning and Internet of Things among others.

Importantly, the ICT policy also provides for certain relaxations in the applicability of labour laws, and permits women to work in three shifts including night ones, provided adequate security precautions are taken. Efforts have also been made to ease compliance procedures and processes. The option for companies to self-certify in respect of maintenance of statutory records is one such example of a liberal regulatory regime.

Single Window Facilitation and institution of awards for promoting a green IT sector are other key facets of the ICT Policy, released by the State government.