System for administration of Minimum Training Requirement for Tonnage Tax Company in terms of Section 115VU of Income Tax Act, 1961 and guidelines issued vide Notification published in Gazette vide S.O. 1436(E) dated 30.12.2004 as amended in Gazette Notif…

Applicable to: All tonnage tax opted companies

Effective Date: FY 2023-24 onwards

Superseded Circulars: TTC Circular no. 1 of 2009 dated 02.03.2009

Key Changes and Requirements

From FY 2023-24, the administrative cost payable to Maritime Training Trust by a tonnage tax company will be:

Rs. 1,000/- per month per trainee plus applicable GST, irrespective of the vessel size.
Payment Frequency: Six months in advance.

The penalty payment in lieu of training obligation and the minimum stipend requirement remain unchanged:

Penalty Payment: No change, no GST on penalty amount.
Minimum Stipend: Rs. 5000/- per month with increments. Companies may augment stipend at their discretion.

Important Note

Companies should inform the Directorate about any modifications in the stipend.

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