The “State Capital Investment Subsidy” is a sub-scheme under The West Bengal Incentive Scheme, launched on 22nd February 2021 by the Department of Tourism, Government of West Bengal. This incentive scheme remains in effect until 31st December 2025 and aims to support tourism sector development across the state.
Objective
The primary goal of this sub-scheme is to provide financial assistance to new and expanding tourism units, encouraging youth entrepreneurship, job creation, and capital investment. Eligible micro and small enterprises can avail of subsidies for investments in building, plant & machinery, and pollution control equipment.
Benefits
• Group A: 7.5% subsidy, up to ₹1,00,00,000
• Group B: 10% subsidy, up to ₹1,00,00,000
• Group C: 15% subsidy, up to ₹1,20,00,000
• Group D: 20% subsidy, up to ₹1,50,00,000
• Special Area: 25% subsidy, up to ₹1,75,00,000
Note: Subsidy for building costs is capped at 50% of the total subsidy amount.
Eligibility Criteria
• Tourism units/projects set up on or after 22nd February 2021
• Existing hotel units that started commercial operations between 7th January 2015 and 31st December 2020, but couldn’t apply under the 2015 scheme due to non-compliance with licensing (Bar) requirements
• Projects must be backed by a Techno-Economic Feasibility Report
• Must be sanctioned by a recognized financial institution or bank
• Units can be in the private, cooperative, joint, or state-managed sectors
• The unit must hold:
– Registration Certificate
– Date of Commencement Certificate
– Eligibility Certificate issued by West Bengal Tourism Development Corporation Limited
Exclusions
• Units already registered or having received incentives under earlier tourism incentive schemes
• Units registered under WBIS 2015 but not processed before the launch of the 2021 scheme are only eligible for benefits under WBIS 2015
Application Process
Online Mode
Registration Process
• Step 1: Visit the Shilpasathi Portal and click ‘Apply Online’
• Step 2: Click ‘Create New’ and select entity type (e.g., Business/Charity)
• Step 3: Fill out the registration form and click ‘Register’
Application Process
• Step 1: Login using credentials or registered mobile number and OTP
• Step 2: From dashboard, click ‘All Services’, then select ‘Tourism Incentive’
• Step 3: Click ‘Create CAF’ to generate CAF ID and begin the Common Application Form
• Step 4: Fill in necessary details, upload relevant documents, and save
• Step 5: Review details, tick the Declaration checkbox, and click ‘Submit’
• Step 6: Track application status via ‘Check Status’
• Step 7: Upon approval, download certificates from ‘Download Certificate’ section
Important Notes
• Units must sequentially obtain: – Registration Certificate – Date of Commencement Certificate – Eligibility Certificate • Post-certification, apply to Managing Director, West Bengal Tourism Development Corporation for final subsidy disbursal
Documents Required
For Registration and Eligibility Certificate (Form I):
• Company Incorporation/Partnership Deed
• Director/Partner/Owner details
• Project Report
• NOCs from Pollution Board and Fire Services
• Loan Sanction Letter (if applicable)
• Last 3 years’ Audited Balance Sheet with IT acknowledgements
• Valuation Report (Building + Machinery)
• Land Deed, Mutation, ROR, Conversion Certificate
• All relevant Government clearances
• Sarai Registration Certificate (for hotels)
• Valid Trade License, GST Certificate & Returns
• Sanctioned Building Plan
For Capital Investment Subsidy Application:
• Techno-Economic Feasibility Report
• Loan Sanction Letter
• Valuation Certificate by registered valuer
• Chartered Accountant Certificate (Annexure A)
• Fixed Assets Certificate (Annexure B)
• Audited Financials, Trade License, GST Return
• Proof of Commercial Operations Commencement
Frequently Asked Questions (FAQs)
-
What areas are classified under “Special Area” for the purpose of determining incentives?
Special Areas are economically backward or high-potential tourism zones identified by the state. -
Which districts fall under Zone B for incentive classification?
Specific zone classifications are detailed in the official scheme notification. -
What are the eligibility criteria for incentives under The West Bengal Incentive Scheme 2021?
Eligible units must be new/existing tourism units, with proper certification and project approvals. -
What is the procedure for claiming the Subsidy?
Submit online application on Shilpasathi Portal, obtain all 3 required certificates, and then apply for incentives. -
What is the significance of the classification of areas into different zones for the scheme?
Zones help determine subsidy rates and limits, encouraging investment in underdeveloped areas. -
Can tourism units/projects avail of incentives under both The West Bengal Incentive Scheme and other state incentive schemes simultaneously?
No, units are not eligible for dual benefits under multiple state schemes. -
Is there any provision for the units that have already received incentives under other state schemes but wish to expand their projects?
Yes, but only for new/additional investments that comply with the 2021 scheme. -
What is the definition of ‘Tourism Units’?
Units engaged in hospitality, lodging, wellness, and tourism-related infrastructure, including hotels and resorts. -
What is an Approved Project?
A project that is technically and financially vetted, and approved by a recognized bank or financial institution. -
Is there any requirement for the submission of fees to get the Registration and Eligibility Certificate and various subsidies within the scheme?
The scheme does not mandate specific fees, but some administrative charges may apply. -
How to check the status of the Submitted Application?
Log into Shilpasathi Portal, go to ‘Check Status’, and view updates on your application. -
Can the user apply with more than one application with the same user login credential in this portal?
Yes, multiple applications can be submitted using a single user account for different projects. -
How does the State Government verify the eligibility of enterprises for the incentives?
Through document verification, physical inspections, and cross-checking with financial institutions. -
What measures are in place to prevent misuse of the subsidy scheme?
Stringent audit trails, document checks, and real-time application tracking are implemented. -
Is there any provision for tourism units/projects to appeal if their application for incentives is rejected?
Yes, applicants may submit a formal appeal to the reviewing authority.