UP EPF Reimbursement Scheme: ₹1 Cr a Year for IT/ITeS Units — Frequently Asked Questions

The scheme refunds the entire EPF contribution a unit pays for each eligible employee, capped at ₹2,000 per employee per month. A single unit cannot receive more than ₹1 Crore in a year, and the benefit can be claimed for 5 years.

New IT and ITeS units in Uttar Pradesh that have a minimum Fixed Capital Investment of ₹2 Crores. The reimbursement is restricted to employees from the specified categories, so not every hire a unit makes will count towards the claim.

Women, Scheduled Caste, Scheduled Tribe, Transgender and Divyangjan employees are covered. Each one must be domiciled in Uttar Pradesh and must have completed at least one continuous year of service after the unit commenced commercial operations.

A unit needs a minimum Fixed Capital Investment of ₹2 Crores to be considered under this incentive.

The policy document does not explicitly state a requirement for DPIIT Startup India recognition or MSME Udyam registration for this incentive. Applicants should read the full IT and ITeS Policy of Uttar Pradesh 2022 for any general compliance conditions that apply.

No. This is a reimbursement-based subsidy — the government returns EPF contributions the unit has already paid. It is non-dilutive and does not give the state any ownership stake in the business.

There is none in the usual sense. Applications run on a rolling basis throughout the year, so a unit can apply when it is ready rather than waiting for a fixed window.

Start by reading the IT and ITeS Policy of Uttar Pradesh 2022 for the detailed guidelines and procedure. Then assemble your documentation and submit the application through the process laid down by the nodal agency implementing the policy, typically the state's Nivesh Mitra portal at niveshmitra.up.gov.in or the relevant department website.

Proof of IT/ITeS unit registration, details of the Fixed Capital Investment, employee records establishing domicile, category and continuous service, EPF payment proofs and other financial statements, along with the application form and its annexures.

A committee or designated authority within the IT & Electronics Department or Invest UP verifies the submitted documents against the policy's eligibility criteria — mainly the unit's Fixed Capital Investment, employee demographics and domicile, and continuous employment records. If the claim clears verification and the unit is compliant with the policy terms, the reimbursement is disbursed to the unit's bank account.

UP EPF Reimbursement Scheme: ₹1 Cr a Year for IT/ITeS Units is offered by Government of Uttar Pradesh, a government body. It is provided as non-dilutive funding.

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