MySubsidy

UP Capital Subsidy (Expansion IT/ITeS)

Government of Uttar Pradesh · Central government

Uttar Pradesh offers eligible IT/ITeS expansion units a 10% capital subsidy on incremental Fixed Capital Investment, capped at ₹50 crore.

Open, rolling. Applications are accepted continuously — there is no deadline.

Key facts

Subsidy amount
Up to ₹50,00,00,000
Instrument
Subsidy
Deadline
Rolling
Disbursement
Released against milestones

About this scheme

The Capital Subsidy for Expansion IT/ITeS Units sits within the IT and ITeS Policy of Uttar Pradesh 2022. Its purpose is to draw investment into the state's information technology and IT-enabled services sectors and to support their growth.

Under the scheme, the Government of Uttar Pradesh provides financial assistance towards fixed capital investment. The subsidy is directed at existing IT/ITeS businesses that commit to substantial incremental fixed capital investment, with the aim of helping them widen their operations and generate additional employment.

Through this support, the state seeks to strengthen its technology ecosystem, advance economic development, and establish Uttar Pradesh as a prominent destination for IT/ITeS industries.

Who can apply

Eligible business forms
Private limited company, Limited liability partnership, One person company, Partnership firm, Sole proprietorship
Udyam registration
Not specified
MSME registration
Not specified
DPIIT startup recognition
Not specified
GST registration
Not specified
Where the business may be based
Uttar Pradesh

- IT/ITeS units undertaking expansion are eligible. - Incremental fixed capital investment must be at least ₹2 crore.

How to apply

- Read the Uttar Pradesh IT and ITeS Policy 2022 in full to understand the eligibility conditions and the specific guidelines it sets out. - Put together a detailed application that shows how each condition is met, covering particulars of your incremental Fixed Capital Investment (FCI) project. - Collect every supporting document the policy requires — evidence of current unit operations, investment plans, financial statements, and any certificates or declarations it prescribes. - File the application with the authority named in the policy document. In practice this means either submitting through the online portal or handing it over physically to the Department of IT & Electronics, Government of Uttar Pradesh. - Wait for word on your application's status; it will move through a screening and evaluation stage conducted by the relevant committee.

Apply on the issuer's site

How applications are assessed

Applications received for the Capital Subsidy are examined in detail. A committee drawn from the Department of IT & Electronics and other concerned state departments evaluates every application against the eligibility conditions laid down in the IT and ITeS Policy of Uttar Pradesh 2022. The committee looks closely at the type of IT/ITeS unit, the size and authenticity of the incremental Fixed Capital Investment, and the likely effect on employment and regional development. Shortlisted units may additionally face site visits or interviews as part of due diligence, so that the information submitted and the viability of the project can be verified. The committee's recommendations form the basis of the final decision, which is taken to remain consistent with the objectives of the policy.

Frequently asked questions

What is the primary purpose of this capital subsidy?

Uttar Pradesh offers a capital subsidy to help existing IT/ITeS units in the state grow. The subsidy is paid on incremental Fixed Capital Investment, with the aim of expanding operations and generating employment in the sector.

What is the maximum subsidy an eligible unit can receive?

An IT/ITeS unit that qualifies may receive capital subsidy of up to ₹50 crore, calculated on its incremental Fixed Capital Investment.

Is there a minimum investment required to be eligible for this subsidy?

Yes. To qualify for this subsidy, a unit must make a minimum incremental investment of ₹2 crore in fixed capital.

Which types of businesses are eligible for this subsidy?

The subsidy applies to eligible IT and ITeS units that are expanding and operating in Uttar Pradesh.

Is this a loan or a grant?

It is a grant rather than a loan: a non-repayable capital subsidy awarded against fixed capital investment.

Sectors

  • Ai Saas Enterprise
  • It
  • Ites
  • Uttar Pradesh
  • Capital Subsidy
  • Expansion

Details last verified on 18 September 2026. Source: the issuer's published information.