Capital Subsidy for Heritage Hotel under Proprietorship

About This Scheme

The scheme "Capital Subsidy for Heritage Hotel under Proprietorship" was launched by the Tourism Department, Government of Madhya Pradesh. The scheme aims to encourage the establishment of heritage hotels through private investment by providing financial assistance to proprietors. The scheme provides a capital subsidy of 15% on fixed capital investment, subject to a maximum ceiling of ₹2,00,00,000/-. The applicant must be a proprietorship firm establishing a Heritage Hotel with a minimum capital expenditure of ₹3,00,00,000/-. The scheme is implemented by the Madhya Pradesh Tourism Board. The applications for this scheme are accepted online through the state investment portal or the designated department within one year from the date of commencement of operation.

Eligibility

- The applicant must be a Proprietorship. - The applicant must be establishing a "Heritage Hotel" as a Tourism Project. - The applicant must incur a minimum capital expenditure of ₹3,00,00,000/- (as approved by the department). - The applicant must have established and operationalized the project during the operative tenure of the policy. - The applicant must submit the application within 1 year from the date of commencement of operation. - The applicant must ensure the investment claimed for subsidy was made not prior to 3 years from the date of commencement of operation (or 5 years if the project was executed in one go). - The applicant must not claim Investment Promotion Assistance if claiming this capital subsidy.

Benefits

- The beneficiary receives a subsidy of 15% against the Fixed Capital Investment. - The maximum subsidy amount is capped at ₹2,00,00,000/-. *Benefit Disbursal Conditions* - _The unit must be established and operationalized during the operative tenure of the policy._ - _The unit must operate continuously for at least three years from the date of availing the subsidy._ - _The beneficiary must submit a self-declaration regarding the continuous operation of the unit on or before the 15th of April every year._ - _If the unit closes within 1 year of receipt of subsidy, 80% of the amount must be refunded._ - _If the unit closes within 2 years of receipt of subsidy, 60% of the amount must be refunded._ - _If the unit closes within 3 years of receipt of subsidy, 50% of the amount must be refunded._

How to Apply

Where This Comes From

This scheme was sourced from myScheme, the Government of India's official Central+State scheme discovery portal, and reviewed by an editor before publishing. Use the button above to read the full details and apply directly on the official source.