New Upcoming Legal Jobs Free Workshop March 11 at 5 PM. Register here

    Question

    The government has extended the PLI scheme for auto

    sector by a year with partial amendments. Consider the following statements with respect to the statement mentioned above -   I. Under the amended scheme, the incentive will be applicable for a total of five consecutive financial years, starting from the financial year 2023-24. II. The scheme also specifies that an approved applicant will be eligible for benefits for five consecutive financial years, but not beyond the financial year ending on March 31, 2030.  III. However, it will still be eligible for benefits in the next year if it meets the threshold calculated on the basis of a 15 per cent year-on-year growth over the first year's threshold. Which of the following statements is/are INCORRECT? 
    A Only I Correct Answer Incorrect Answer
    B Only I & III Correct Answer Incorrect Answer
    C Only II Correct Answer Incorrect Answer
    D Only II & III Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    The Ministry of Heavy Industries has extended  the Production Linked Incentive (PLI) Scheme for Automobile and Auto Components by one year with "partial amendments". Under the amended scheme, the incentive will be applicable for a total of five consecutive financial years, starting from the financial year 2023-24. The disbursement of the incentive will take place in the following financial year 2024-25. The scheme also specifies that an approved applicant will be eligible for benefits for five consecutive financial years, but not beyond the financial year ending on March 31, 2028. However, it will still be eligible for benefits in the next year if it meets the threshold calculated on the basis of a 10 per cent year-on-year growth over the first year's threshold.

    Practice Next