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AP Transfer Duty Reimbursement — 100% Refund for Industrial Units — Frequently Asked Questions

FAQ

Answers to the questions founders most often ask about AP Transfer Duty Reimbursement — 100% Refund for Industrial Units — who qualifies, the funding amount, required documents and how the application works.

Frequently asked questions

How much money does the AP Transfer Duty Reimbursement actually pay out?

It returns 100% of the transfer duty fees the enterprise has paid. There is no fixed rupee amount advertised for the scheme, because the payout follows whatever duty was charged on the property transaction. The policy does not mention an upper ceiling, so the figure varies from case to case.

Who is eligible to claim this reimbursement?

Eligibility covers all eligible New Industrial Enterprises in Andhra Pradesh as well as Expansion or Diversification projects. Units of every size band qualify — Micro, Small, Medium, Sub-Large and Large.

Does this program take equity or a stake in my company?

No. This is a subsidy-style reimbursement, not an investment. The government refunds transfer duty you have already paid and does not receive shares, board seats or any ownership in return — your cap table stays exactly as it is.

What is transfer duty in this context?

It is the levy paid when land or property is transferred to the enterprise for its industrial operations. Since acquiring premises is a necessary step before setting up or expanding a unit, the policy treats that duty as an upfront cost worth refunding in full.

Is the scheme only for textile businesses, given it sits under a textile policy?

The rules sit within the Andhra Pradesh Textile Policy 2024-29 (AP TAG 4.0), but the stated eligibility is written for 'all eligible New Industrial Enterprises and Expansion/Diversification projects'. That wording suggests a wider industrial reach within the state's development goals, even though the incentive is administered under the textile policy framework.

Is there a deadline I need to apply before?

No deadline has been specified. Applications are treated as rolling — you can apply at any point while the Andhra Pradesh Textile Policy 2024-29 remains in force.

Do I need Udyam or MSME registration to apply?

For Micro, Small and Medium enterprises, Udyam Registration is listed among the supporting documents applicants are normally asked to provide. The material available does not set out a separate MSME registration requirement for the Sub-Large or Large categories.

What documents are typically required?

Applicants generally submit a prescribed application form along with proof of enterprise registration (such as Udyam Registration for MSMEs), company incorporation certificates, a project report, and verifiable evidence that the transfer duty was paid. Officials may ask for further clarification during verification.

Is the benefit paid more than once?

No. The reimbursement is a one-time disbursement, processed after the application clears verification and approval.

How and where do I apply?

An application is filed with the relevant state authority as per the guidelines of the AP Textile Policy 2024-29 (AP TAG 4.0), and the Industries & Commerce Department handles the review. The application portal for Andhra Pradesh industrial incentives is available at https://www.apindustries.gov.in/Incentives/Index.aspx.

Is DPIIT recognition required for AP Transfer Duty Reimbursement — 100% Refund for Industrial Units?

No. DPIIT (Startup India) recognition is not listed as a mandatory requirement for AP Transfer Duty Reimbursement — 100% Refund for Industrial Units, though having it can strengthen your application and unlock other benefits.

Who offers AP Transfer Duty Reimbursement — 100% Refund for Industrial Units?

AP Transfer Duty Reimbursement — 100% Refund for Industrial Units is offered by Department of Handlooms and Textiles, Government of Andhra Pradesh, a government body. It is provided as non-dilutive funding.

How do I apply for AP Transfer Duty Reimbursement — 100% Refund for Industrial Units?

Apply directly through the official application link on this page. Review the eligibility criteria and prepare your startup documents before you begin.

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