Chennai, Jan 14 (SocialNews.XYZ) Production Linked Incentive (PLI) Scheme, government financial support, exemption from Goods and Services Tax (GST) are some of the Budget 2023 wishlist of the Indian Space Association (ISpA).
According to ISpA's Director General, Lt. Gen. AK Bhatt (Retd.), the suggestions/wishlist were received from the space industry on tax policies and incentives to promote investment, research and development, and employment in the space sector.
The space sector lobby body said PLI for the sector will promote research and development in India and provide incentives to entities engaged in the space sector.
The ISpA also wants the government to provide financial support through loans, grants and tax incentives for companies and organisations in the space sector.
"Since the new space policy is in its final stages of development, the provision of tax exemption for startups should be continued till the time the incumbent Policy is released/implemented," Bhatt said.
Considering that most space-tech companies in India are startups and access to capital is an issue, it would be beneficial to create parity in terms of the short-term capital gains tax rate and treatment with respect to listed and unlisted entities and also provide exemption from Angel tax, the industry body said.
The industry also wants the setting up of Space Technology Parks and creating a group of experts for the space ecosystem usage.