The West Bengal Incentive Scheme

The West Bengal Incentive Scheme has been introduced to support and encourage young entrepreneurs in the state. If you are planning to start a tourism-related business, this scheme could help reduce your financial burden. It provides capital subsidies to eligible micro and small enterprises, mainly in the tourism sector. The focus is on helping individuals like you become self-employed and later generate employment for others.

This scheme has been designed to offer structured financial assistance to eligible tourism units in West Bengal. 

The table below outlines the key details:

Disclaimer: The details are based on official guidelines issued by the Department of Tourism, Government of West Bengal. Please verify the latest information with the concerned authorities before applying.

This scheme provides capital subsidies to promote tourism projects and self-employment across West Bengal. Below are the key features and benefits:

Capital Investment Subsidy

You can receive a subsidy on fixed capital investments like building, plant, machinery, and pollution control equipment.

Area-based Subsidy Rates

The subsidy amount varies depending on the zone classification of your tourism unit. Higher subsidies are offered in underdeveloped and special areas.

Limit on Building Component Subsidy

The subsidy on the building cost will not exceed 50% of the total State Capital Investment Subsidy granted.

Support for Youth Employment

The scheme encourages youth like you to become self-employed and, eventually, employers who create jobs for others.

The West Bengal Incentive Scheme subsidies are based on the zone where your tourism unit is located. These subsidies are granted as a percentage of the fixed capital investment.

Here are the details:

• Group A Areas

You can get a subsidy of 7.5%, subject to a maximum of ₹1 Crore

• Group B Areas

A 10% subsidy is available, with a cap of ₹1 Crore

• Group C Areas

The scheme offers 15% subsidy, limited to ₹1.20 Crores

• Group D Areas

You may receive a 20% subsidy, up to a limit of ₹1.50 Crores

• Special Areas

The highest subsidy of 25% is offered here, subject to a maximum of ₹1.75 Crores

• Subsidy Cap for Building Component

The subsidy amount for the building will not exceed 50% of the total capital subsidy given

To qualify for this scheme, your tourism unit must meet the following conditions:

• Applicable to Tourism Projects and Expansions

The scheme applies to new tourism projects and expansions of existing units set up on or after 22nd February, 2021

• Earlier Hotel Units

Hotels that started between 7th Jan 2015 and 31st Dec 2020 may be eligible if they could not apply earlier due to the absence of a bar facility

• Type of Ownership

Units may be in the private, co-operative, joint, or state-managed sectors, including government undertakings

• Feasibility Report Required

Your project must be backed by a detailed feasibility report prepared specifically for the intended purpose

• Financial Sanction

The project must be sanctioned by a Central Financial Institution, a Commercial Bank, or a State Financial Institution

• Mandatory Certificates

You must hold a Registration Certificate, Date of Commencement Certificate, and Eligibility Certificate from the West Bengal Tourism Development Corporation Limited

You will not be eligible for the West Bengal Incentive Scheme if your tourism unit has already been registered or sanctioned incentives under any earlier scheme. Units that applied for registration under the 2015 scheme before the 2021 scheme started, and whose applications were not resolved, will only receive benefits as per the 2015 scheme. Such units will not qualify for any benefits under the current 2021 scheme

For Registration and Eligibility Certificate (Form I)

• Memorandum and Articles of Association or Partnership Agreement

• Names and addresses of Directors, Partners, or Owners

• Detailed Project Report

• No Objection Certificate from Pollution Control Board

• No Objection Certificate from West Bengal Fire Service

• Loan sanction letter (if applicable) from Financial Institution or Bank

• Audited Balance Sheets for the last 3 years with Income Tax acknowledgements

• Building and machinery estimates vetted by Government-registered or Chartered Valuer

• Land deed and supporting documents like Mutation, Conversion Certificate, and site plan

• Clearances from Government authorities (Forest, CRZ, Police, etc.)

• Sarai Registration Certificate (for hotels)

• Valid Trade Licence

• GST Certificate and GST return

• Sanctioned Building Plan from authorised local body

For State Capital Investment Subsidy Application

• Techno-Economic Feasibility Report

• Loan sanction letter from Financial Institution or Bank

• Valuation Certificate by Government-registered Valuer

• Chartered Accountant Certificate (Annexure-A)

• Certificate of Fixed Assets (Annexure-B)

• Audited Annual Accounts till date

• GST Return

• Updated Trade Licence

• Proof of Commercial Operation Start Date

You need to apply online through the official Shilpasathi portal. Follow the steps below:

Registration Process:

1. Visit the Shilpasathi portal https://silpasathi.wb.gov.in/ and click on ‘Apply online’

2. On the sign-up window, click ‘Create New’ for new users

3. Select your business type and enter the registration number

4. Fill out the user registration form and click ‘Register’

5. If you already have an account, click ‘Sign In’ and log in using your ID, password, and captcha

Application Process:

1. Go to the Shilpasathi portal https://silpasathi.wb.gov.in/

2. Click on ‘Apply online’

3. Enter your login details or use your registered mobile number and OTP

4. On the dashboard, click ‘ALL SERVICES’

5. Tick the checkbox for ‘Tourism Incentive’ service

6. Click on ‘Create CAF’ to generate your CAF ID

7. Click ‘Apply Online’ and fill out the application form

8. Attach all required documents and click ‘Save & Continue’

9. A message will confirm successful document upload

10. Review the application, tick the ‘Declaration’ checkbox, and click ‘Submit’

11. You will receive SMS and email updates at every important stage

12. After submission, you will be redirected to the ‘Check status’ page

13. Once approved, download your Registration Certificate from the portal

Note: You must first receive the Registration Certificate, Date of Commencement Certificate, and Eligibility Certificate before applying for any subsidy. Once you have all three, submit separate online forms to the West Bengal Tourism Development Corporation for applicable incentives.

The West Bengal Incentive Scheme is designed to support tourism-based businesses by reducing your initial investment burden. If you are planning to set up or expand a tourism unit, this scheme can help by offering capital subsidies on buildings, machinery, and pollution control equipment. 

To benefit, you must meet the eligibility conditions, submit the required documents, and complete the online application process accurately. Understanding each step in advance can make your application smoother and improve your chances of approval.