Department of Tourism, Government of West Bengal
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Subsidy for Quality Improvement — Up to ₹7.5L for West Bengal Tourism Units — Frequently Asked Questions

FAQ

Answers to the questions founders most often ask about Subsidy for Quality Improvement — Up to ₹7.5L for West Bengal Tourism Units — who qualifies, the funding amount, required documents and how the application works.

Frequently asked questions

How much money does the Subsidy for Quality Improvement actually pay out?

A successful applicant is reimbursed 50% of the fixed capital investment it incurred on eligible activities. The payout is capped at ₹7,50,000, so even a unit with a very large capital outlay will not receive more than that ceiling.

What kinds of expenses can be claimed under this subsidy?

The reimbursement covers expenditure on quality improvement work, modernisation of the unit, installation of pollution control devices, and the cost of securing ISI, BIS or ISO certification. Each claim must relate to fixed capital investment that was genuinely incurred for these purposes.

Who is eligible to apply?

Tourism projects, units and expansion projects of existing units that were set up on or after February 22, 2021 are eligible. In addition, hotel units that started commercial operations between January 7, 2015 and December 31, 2020 can apply if they were unable to do so under an earlier scheme for specific reasons — for example, not having a Bar.

Which types of entities can apply for this subsidy?

Units in the private sector, the co-operative sector and the joint sector are all covered, as are companies or undertakings owned or managed by the State Government. In practice this spans companies, LLPs, partnership firms and proprietorships operating an eligible tourism project.

Does the project need prior bank approval?

Yes. The detailed feasibility or project report for the proposal has to be approved and sanctioned by a Central Financial Institution, a Commercial Bank, or a State Financial Institution. Without that sanction in place, the application cannot move forward.

What certificates must a unit hold before it can apply?

Three documents are mandatory, all issued by the West Bengal Tourism Development Corporation Limited: a Registration Certificate, a Date of Commencement Certificate, and an Eligibility Certificate. These are prerequisites — the incentive application itself can only proceed once they have been secured, and the WBTDC issues them after satisfying itself about the unit's arrangements.

What is the deadline for the scheme?

The scheme stays valid until December 31, 2025. Applications for the incentive must be submitted within that period.

How do I apply for the Subsidy for Quality Improvement?

Applications go through the Shilpasathi portal at silpasathi.wb.gov.in. New users register by selecting 'Create New', choosing their entity type, entering their registration number and completing the User Registration form; existing users sign in with their credentials or a registered mobile number and OTP. After logging in, go to 'ALL SERVICES', find 'Tourism Incentive', tick the checkbox, click 'Create CAF' to generate a CAF ID, and then 'Apply Online' to open the common application form. Fill in the details, attach the supporting documents, click 'Save & Continue', accept the Declaration checkbox and hit 'Submit'.

What documents are typically needed with the application?

The application requires the supporting papers needed both for the prerequisite certificates and for the incentive claim itself. These generally include the project report, financial statements, proofs of the expenditure being claimed, and details of any certification obtained.

Is DPIIT or MSME registration required to apply?

The scheme's eligibility conditions do not list DPIIT or MSME registration as a requirement. What they do require is that the project be approved and sanctioned by a Central Financial Institution, Commercial Bank or State Financial Institution, and that the unit hold the Registration Certificate, Date of Commencement Certificate and Eligibility Certificate from the West Bengal Tourism Development Corporation Limited.

Is this a loan or does the government take equity?

Neither. It is structured as a non-repayable subsidy paid out as a reimbursement, so there is nothing to repay and no equity or ownership stake is given up in return.

How is the application assessed?

Assessment is a verification exercise rather than a competitive selection. Authorities check that the project has the required financial sanction and WBTDC certificates, then review the application documents and verify that the capital investment claimed was actually incurred on quality improvement, modernisation, pollution control and certification. Final approval rests with the West Bengal Tourism Development Corporation Limited.

Who offers Subsidy for Quality Improvement — Up to ₹7.5L for West Bengal Tourism Units?

Subsidy for Quality Improvement — Up to ₹7.5L for West Bengal Tourism Units is offered by Department of Tourism, Government of West Bengal, a government body. It is provided as non-dilutive funding.

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