Reiterating its commitment to extend tax benefits to new investors in Punjab, Deputy Chief Minister Sukhbir Singh Badal on Friday said that implementation of GST (Goods and Services Tax) will have no impact on concessions being offered to the industry.

Talking to media, Deputy CM said that industry will continue to get tax benefits for first five years as promised by the Government. He said, when the GST comes into effect, the State’s share in GST will be extended to the industry in shape of fiscal concessions.

Stuck in the Rajya Sabha for the final nod, GST is being seen as a major tax reform after the independence of the country. Taxes like Sales tax, Service tax, Excise, Octroi will be phased out once the GST is implemented.

In the recently concluded Investors’ Summit, Deputy CM had made a surprise announcement of offering full tax concessions on inputs for the food processing industry. The State Government has already been extending tax sops like CST, stamp duty exemption and VAT retention up to 13 years to the new industry under the present industrial policy.

The industrialist present at the Summit had expressed their apprehension on the fate of the tax concessions being offered by the State when the single tax regime is imposed through out the country.

Talking on the objections being raised by the MSME sector on the concessions being offered to the new ventures, Sukhbir Badal said that the state government is committed to protect the existing industry in the state and the government is already working on a special package for the existing industry and the MSME sector.

The package will address the grievances of the people who are feeling offended by the tax concessions for the new industry. The Punjab Government has claimed to garner an investment of 1.15 lac crore in the recently concluded Invest Punjab summit.