UP R&D Expenditure Reimbursement
Government of Uttar Pradesh · Central government
Uttar Pradesh reimburses 50% of eligible R&D costs, up to ₹5 crore over 5 years, for recognised IT and ITeS R&D centres.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- Up to ₹5,00,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
About this scheme
The R&D Expenditure Reimbursement scheme operates under the IT and ITeS Policy of Uttar Pradesh 2022. It seeks to encourage innovation and technological advancement in the state's IT and ITeS sector, which is expanding quickly. The incentive is meant to lower the sizeable cost of research and development work, so that businesses put more money into new technology and product development. Through this financial support, the Government of Uttar Pradesh aims to make the state a leading location for IT and ITeS innovation, draw and retain skilled workers, and improve how local enterprises compete globally.
The scheme is open to entities that hold formally recognised standalone or in-house R&D Centers and Design Centers. It recognises the part such entities play in economic growth, in creating high-value jobs, and in developing proprietary technologies. Reimbursement is available for both capital and operational expenditure on eligible R&D activities, giving broad support to innovation. The scheme reflects the state's intent to build an ecosystem in which technological breakthroughs are both possible and actively backed and rewarded.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership, One person company, Partnership firm
- 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
- Standalone or in-house R&D centres and design centres - Recognition by CSIR/DSIR, or approval by an Expert Committee, is required for the centre - Operations must be within the IT and ITeS sector in Uttar Pradesh
How to apply
Under the IT and ITeS Policy of Uttar Pradesh 2022, the R&D Expenditure Reimbursement scheme is claimed as part of the wider application procedure. Applicants are generally expected to:
- Confirm that their R&D or Design Center holds the required recognition from CSIR/DSIR, or approval from the designated Expert Committee. - Compile and file detailed documentation covering eligible capital and operational R&D expenditures. - Adhere to the guidelines and application forms issued by the Uttar Pradesh government's implementing agency for the IT and ITeS Policy. - Submit a claim form together with supporting invoices, receipts, and recognition certificates to the relevant department; this documentation is ordinarily part of the application.
How applications are assessed
A dedicated committee within the Government of Uttar Pradesh, or an implementing agency it appoints, screens reimbursement applications. The review examines the paperwork in detail to confirm that the R&D/Design Center qualifies and that the capital and operational expenditure claimed is both genuine and eligible. Verification covers formal recognition by CSIR/DSIR or approval from the Expert Committee, along with adherence to the financial guidelines laid down in the IT and ITeS Policy of Uttar Pradesh 2022.
Approval is granted once every policy criterion is met to the committee's satisfaction and the expenditure claims have been validated.
Frequently asked questions
What is the maximum reimbursement I can receive?
A unit may claim reimbursement of up to ₹5 crore spread across 5 years.
What percentage of R&D expenditure is reimbursed?
The scheme reimburses 50% of eligible capital and operational R&D expenditure.
Who is eligible to apply for this reimbursement?
Eligibility extends to standalone or in-house R&D and Design Centres that hold recognition from CSIR/DSIR, or that have been approved by an Expert Committee under the Uttar Pradesh IT and ITeS Policy 2022.
What kind of expenses are covered under the reimbursement?
Capital and operational expenditure on eligible R&D activities are both covered by the reimbursement.
Is there a specific deadline to apply?
The policy document does not specify an application deadline and presents the incentive as ongoing, so applications are likely accepted on a rolling basis during the policy's implementation.
How long is the reimbursement valid for?
A unit may claim reimbursement of eligible expenditure for up to 5 years from the date of recognition or approval.
Sectors
- Ai Saas Enterprise
- Rd
- Reimbursement
- Uttar Pradesh
- It Ites Policy
- Innovation
Details last verified on 15 September 2026. Source: the issuer's published information.