Key Policy Highlights
UP Tourism Policy 2022
- Capital Investment Subsidy
Eligible Capital Investment (ECI) Subsidy percentage Ceiling Subsidy 10 lakhs – Upto 10 crore 25% 2 crore Upto 50 crore 20% 7.5 crore Upto 200 crore 15% 20 crore Upto 500 crore 10% 25 crore More than 500 crore 10% 40 crore - Additional 5% subsidy for unserved destinations in Tier 2 or lower cities, women entrepreneurs and SC/ST/Backward classes, Focus Tourism Destinations (as notified by the Department)
- Sum of all incentives capped at 30%
- Land purchased (only the eligibile part) included in ECI
- PPP projects can also avail incentives
- Interest subsidy
- 5% for a period of 5 years on a bank loan upto INR 5 crore
- Unit can apply for either capital or interest subsidy
- Industry status to hotels and resorts
- House tax (Property tax) and Water sewerage tax levied at Industry rates. Electricity duty shall be charged as per industry rates.
- Construction permitted in notified industrial areas
- Stamp duty exemption @100% (1st Transaction)
- Land Conversion and Development charges @100%
- Employment Generation subsidy: 100% reimbursement of EPF expenditure for a period of 5 years
- Specially-abled friendly units: Payroll assistance of INR 1500 per month per worker
- Revival of scarce art & culture @ INR 5 lakh granted to an individual or group involved
- Incentives for ICT Enablement
- One time assistance of 25% of the cost of procuring equipment
- 25% subsidy to promotional content using technology, AI and metaverse
- Financial assistance for introduction of ICT in tourism
- Support to Responsible Tourism:
- 75% reimbursement of the cost of carrying out an energy audit
- 20% reimbursement of capital cost of setting up a sewerage plant
- 50% reimbursement of green certification fee
- 100% reimbursement on achieving Responsible Tourism Society of India certifications
- Assistance for research in travel/hospitality sector: Financial assistance to 5 projects to recognized travel associations, management institutes and hospitality bodies
- Marketing and Promotion Assistance: 50% of the space rent – INR 30,000 per national event and INR 1 lakh per international event
- Support for MICE activities: 50% reimbursement on cost of international conferences in accordance with the standards
- Assistance for YUVA tourism: One-time grant of INR 10000 provided to youth clubs within government educational institutes
- State Tourism Awards: Upto INR 1 lakh prize money to various tourism units
- Special incentives for Heritage Hotels
- 25% subsidy on capital cost without disturbing the architecture
- Self-expenditure and loan considered as Eligible Capital Investment
- 5% subsidy for a period of 5 years on a bank loan upto INR 5 crore
- 100% exemption on stamp duty and land use conversion
- 50% reimbursement on Excise license fees of first year
- Offer signages along key routes and publicity and broadcasting
- Avail both capital subsidy and interest subsidy
- Allotment of Govt land:
S.No. Category Minimum Land Area Maximum Land Area 1 Budget Hotels (1,2,3 star/ hotels) 1200 sqm Upto 5000 sqm 2 Hotels/ Wellness Centres/Eco-Tourism Stays (4 star
and premium)6000 sqm Upto 15000 sqm 3 Resorts / Theme Park 18000 sqm Upto 50000 sqm 4 Other Tourism units – As per requirement/
_availability- The allotment of such land shall be made on the prevailing DLC (District Level Committee) rate of the local area
- Land made available under this policy cannot be used for any other purpose for atleast 30 years