Technology

4-Month Rental Waiver for Companies Operating out of STPI Centers

Given the challenges thrown by the consequent nationwide lockdown and the COVID-19 outbreak, the government agrees to provide a 4-month rental waiver to small IT units functioning out of Software Technology Parks of India (STPI). Most of these units operating out of these tech parks are either start-ups or tech MSMEs. 

For four months between March 1 and June 30, the cumulative cost of the rent waiver to these units is expected to be around Rs 5 crore. Also, this initiative has been undertaken in the interest of about 3,000 IT/ITeS employees who are directly supported by these units.

Also Read: MeitY and Law Ministries Yet To Settle Down on Intermediary Guidelines

Under the Ministry of Electronics and Information Technology (MeitY), STPI is an autonomous society with 60 centres across the region. It includes tier 1 cities such as Chennai, Bengaluru, Kolkata, and Mumbai; tier 2 cities such as Warangal, Surat, and Nagpur.

Numerous IT industry veterans, firms, and bodies such as NASSCOM and UnivLabs Meditech have supported the initiative as it would help the country’s IT and IT-enabled sector to tackle the current situation.

Recognizing the challenges faced by the current pandemic and the shutdown, India’s Small Industries Development (SIDBI) has launched the ‘COVID-19 Startup Assistance Scheme’ recently to meet the early-stage startups’ working capital loan requirements.

For any clarifications/feedback on the topic, please contact the writer at bhavana.pn@cleartax.in

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