Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years
Sunrise Enterprises in Rajasthan's power-intensive sectors can claim an extra 5% back on State tax they owe and pay, for seven years, under the Rajasthan Investment Promotion Scheme 2024.
- Funding amount
- Varies by program
- Funding type
- Subsidy
- Provider
- Department of Industries and Commerce, Government of Rajasthan (Government)
- Application deadline
- Rolling
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Overview
The Department of Industries and Commerce, Government of Rajasthan, delivers this incentive as Section 3.3.2.3.4 of the Rajasthan Investment Promotion Scheme 2024.
Its target is deliberately narrow. Only businesses the state recognises as Sunrise Enterprises qualify, and within that group only those whose operations sit in power-intensive sectors.
What it offers is easy to state: an extra 5% back on State tax such an enterprise owes and pays, sustained for seven years. Power-heavy industries carry unusually large electricity bills, so a long-running rebate of this kind strips a meaningful slice off their operating burden.
The Rajasthan Investment Promotion Scheme 2024 is the state's flagship framework for pulling in and growing industry, and this section is one targeted thread inside it. The intent is to keep energy-hungry units competitive, free up capital for capacity building, technology upgrades and hiring, and sharpen Rajasthan's pitch as a location for such industries. Support arrives as a subsidy, so nothing is repaid and no ownership is surrendered.
There is no window to wait for either — applications are accepted on a rolling basis.
Highlights
- An extra 5% reimbursement on State tax an enterprise owes and pays
- Benefit runs for seven years
- Reserved for state-recognised Sunrise Enterprises in power-intensive sectors
- Part of the Rajasthan Investment Promotion Scheme 2024 (Section 3.3.2.3.4)
- Subsidy support — no equity dilution, nothing to repay
- Rolling applications, with no fixed deadline
Who can apply
Two conditions must be satisfied at the same time to claim this reimbursement.
- Sunrise Enterprise classification — the business has to be recognised by the state as a Sunrise Enterprise under the Rajasthan Investment Promotion Scheme 2024.
- Power-intensive operation — its activities must fall in a power-intensive sector, where electricity accounts for a large share of running costs.
- Location — the operation must be located in Rajasthan.
No startup stage, entity type, DPIIT or MSME registration requirement, or founder-level condition is listed for this incentive as published. Any further general conditions come from the wider Rajasthan Investment Promotion Scheme 2024 policy document.
Both 'Sunrise Enterprise' and 'power-intensive sector' are defined inside that larger policy, so confirming your classification with the Department of Industries before filing a claim is the sensible first move.
Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years is open to startups at any stage. It is open to startups registered anywhere in India.
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Deadline & timing
Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.
What the funding covers
The benefit is a cash reimbursement worth an extra 5% of State tax that an eligible enterprise owes and pays. It is designed to run for seven years.
The rate is stated only as a percentage. No rupee ceiling is fixed in the published policy, which means the payout scales with the tax an enterprise actually deposits — a larger tax base produces a larger reimbursement.
Because this works as a reimbursement, the enterprise pays its State tax first and claims the 5% back afterwards. Alongside the money, the scheme extends regulatory support: a defined and predictable framework for how power-intensive units are treated within the state's incentive structure.
There is no dilution attached. The programme takes no equity and no ownership stake, and the amount does not have to be returned.
The practical effect is steadier cash flow across a long horizon, which eligible businesses can direct towards running costs, energy-efficiency work, capacity expansion or new hires.
About the provider
Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years is offered by Department of Industries and Commerce, Government of Rajasthan, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.
How to apply
Applications are submitted on the . Confirm the current deadline and document checklist there before you start.
Selection process
Assessment here is a verification exercise rather than a competition. A dedicated committee, or designated officers from the Department of Industries working with other relevant state departments, reviews each application.
The review checks four things:
- that the applicant genuinely holds official Sunrise Enterprise status
- that it really operates in a power-intensive industry located in the state
- that the State tax figures shown as owed and paid are accurate
- that every general and specific condition in the Rajasthan Investment Promotion Scheme 2024 is met
No pitch, interview or competitive shortlisting stage is described for this incentive. Once verification is complete and approval granted, the reimbursement is sanctioned and then released, with payments made periodically on the schedule the scheme sets out. Since the whole process turns on paperwork, keeping proof of tax payments and evidence of your sector classification ready is essential.
Documents you’ll need
Before you apply to Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years, keep the following documents ready:
- A pitch deck or short business plan describing the problem, product and traction
- Company registration documents and PAN
- Founder identification (PAN / Aadhaar) and brief profiles
- Recent financial statements or projections
- Product details — a demo, prototype or working link if available
Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.
Frequently asked questions
How much funding does this scheme provide?
It refunds an extra 5% of State tax that an eligible Sunrise Enterprise owes and pays. The policy expresses the benefit as a percentage rather than a fixed sum, and it does not set a maximum cap in rupees, so the actual amount varies from business to business depending on how much State tax it deposits. The reimbursement runs for seven years.
Is there an application deadline?
No. Applications are accepted on a rolling basis, so there is no fixed closing date or annual window to wait for. You can apply once your enterprise meets the eligibility conditions.
Who is eligible to apply?
Only enterprises that the state recognises as Sunrise Enterprises and that operate in power-intensive sectors qualify. The business also needs to be operating in Rajasthan. The published criteria for this incentive do not set out requirements around startup stage, entity type, DPIIT registration, MSME registration or founder profile — any further general conditions come from the Rajasthan Investment Promotion Scheme 2024 itself.
What exactly is a 'Sunrise Enterprise'?
The policy document does not spell out a definition of the term for this specific incentive. In practice it refers to new or emerging sectors with high growth potential that the state government identifies as strategically important for economic development. Businesses working in those designated sectors are the ones treated as eligible.
Which industries are treated as power-intensive?
'Power-intensive' covers industries whose electricity consumption is notably high relative to their overall operating costs. The specific list of qualifying sectors is expected to be set out in the full Rajasthan Investment Promotion Scheme 2024 document or through later official notifications and guidelines, so it is worth checking those before applying.
For how many years can the reimbursement be claimed?
Eligible enterprises can claim the extra 5% reimbursement on State tax they owe and pay for a continuous seven-year period, beginning from the date they become eligible under the scheme.
Does the government take equity or a stake in return?
No. This is structured purely as a tax reimbursement. There is no equity stake, no ownership share and no form of government participation in the business. It is a non-repayable financial incentive, so the benefit is non-dilutive for founders and existing shareholders.
How and when is the reimbursement paid out?
The reimbursement is sanctioned after verification and approval, then disbursed to the qualifying enterprise. Payments are made periodically on the schedule defined in the scheme's operational guidelines. Enterprises typically file claims at set intervals, attaching proof that the State tax has been deposited.
How do I apply, and what documents do I need?
Applications sit within the wider Rajasthan Investment Promotion Scheme 2024 framework and can be made through the state's investor portal at https://rajnivesh.rajasthan.gov.in/. The steps are to register under the scheme, obtain any approvals required from the designated nodal agency — often the Bureau of Investment Promotion (BIP) or the Department of Industries in Rajasthan — and then submit a formal application. Supporting documents generally include proof of State tax payment, operational details, official classification as a Sunrise Enterprise and evidence that the business operates in a power-intensive sector. Everything submitted is verified before any sanction is issued.
Is DPIIT or MSME registration required?
Neither is listed as a requirement for this incentive in the published criteria. Eligibility here turns on Sunrise Enterprise status and operating in a power-intensive sector within Rajasthan. Do check the full Rajasthan Investment Promotion Scheme 2024 document for any general conditions that may apply.
Who offers Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years?
Rajasthan Sunrise Enterprise Tax Reimbursement — 5% for 7 Years is offered by Department of Industries and Commerce, Government of Rajasthan, a government body. It is provided as non-dilutive funding.
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