Capital subsidy rates by destination
Gujarat Tourism Policy 2021–25 provides capital investment subsidy on eligible fixed capital investment (FCI) for registered tourism units. Hotels and resorts in High Priority Tourism Destinations receive 20% of eligible FCI; projects in other eligible areas receive 15%.
Mega tourism units meeting enhanced thresholds qualify for a separate package — 15% capital subsidy capped at ₹20 crore, plus stamp duty reimbursement, electricity duty exemption, and luxury tax exemption for 7 years.
Rates and caps
| Category | Subsidy rate | Key condition |
|---|---|---|
| Hotels — priority destination | 20% of eligible FCI | Annexure-listed destination; MoT certification |
| Hotels — other eligible areas | 15% of eligible FCI | MoT certification; minimum investment thresholds |
| Mega tourism units | 15% (cap ₹20 Cr) | Separate mega qualifying criteria |
| Disbursement | After COD | CA-certified FCI statement required |
| Land in FCI | Excluded unless specified | Verify eligible FCI definition in investor guidelines |
CategoryHotels — priority destination
Subsidy rate20% of eligible FCI
Key conditionAnnexure-listed destination; MoT certification
CategoryHotels — other eligible areas
Subsidy rate15% of eligible FCI
Key conditionMoT certification; minimum investment thresholds
CategoryMega tourism units
Subsidy rate15% (cap ₹20 Cr)
Key conditionSeparate mega qualifying criteria
CategoryDisbursement
Subsidy rateAfter COD
Key conditionCA-certified FCI statement required
CategoryLand in FCI
Subsidy rateExcluded unless specified
Key conditionVerify eligible FCI definition in investor guidelines
Eligible FCI and documentation
- Plant and machinery, construction, furniture, fixtures, and equipment for hotel operations
- Land cost typically excluded from eligible FCI base
- MoT star/category certification mandatory before subsidy disbursement
- Minimum capital investment thresholds apply (e.g. ₹1 Cr+ for hotel/resort category)
- Expansion projects must meet minimum increase thresholds per policy
City and application resources
Priority destination guide · Interest & electricity duty · Kutch hotel subsidy guide · How to apply — Gujarat
More Gujarat incentive guides
Priority destination incentives · Stamp duty reimbursement · Interest & power incentives