Question 1

What are state tourism policies in India for hotel developers?

Accepted Answer

Each Indian state sets its own tourism policy with capital subsidy, stamp duty relief, SGST/GST reimbursement, and registration rules for hotels and resorts. We publish full guides for Maharashtra, Gujarat, Rajasthan, Karnataka, Andhra Pradesh, Telangana, and Madhya Pradesh — with fiscal tables, eligibility, and application steps for each state tourism policy.

Question 2

What is the Maharashtra tourism policy for hotels?

Accepted Answer

Maharashtra Tourism Policy 2024 (MTP 2024) offers up to 20% capital subsidy (cap ₹20 Cr), 50–100% stamp duty exemption by zone, SGST reimbursement for 5–10 years, additional tourism FSI, and interest subvention. Hotels need Directorate of Tourism NOC, building sanction, and PRC after sanction. See our complete Maharashtra tourism policy guide.

Question 3

What is the Gujarat tourism policy for hotel developers?

Accepted Answer

Gujarat Tourism Policy 2021–25 provides 15–20% capital subsidy, 100% stamp duty reimbursement on the first land transaction, 5% interest subvention, and 5-year electricity duty exemption. Hotels in High Priority Tourism Destinations qualify for the maximum package. See our Gujarat tourism policy guide for destination lists and application steps.

Question 4

What is the Rajasthan tourism policy for hotels and heritage properties?

Accepted Answer

Rajasthan Tourism Unit Policy 2025 (RTUP 2025) integrated with RIPS 2024 offers 75% stamp duty relief, double FAR, and either 10–20% capital subsidy or 75% SGST reimbursement for up to 10 years. Heritage hotels in pre-1950 forts and havelis have dedicated thresholds. See our Rajasthan tourism policy guide.

Question 5

What is the Karnataka tourism policy for hotel subsidies?

Accepted Answer

Karnataka Tourism Policy 2024–29 provides up to 25% capital subsidy (cap ₹10 Cr) for projects outside Bengaluru Urban, 100% stamp duty exemption on land documents, land conversion fee reimbursement, and an additional 5% for priority regions. See our Karnataka tourism policy guide.

Question 6

What is the Andhra Pradesh tourism policy for hotels?

Accepted Answer

Andhra Pradesh Tourism Policy 2024–29 (APTP) grants industry status, 100% stamp duty reimbursement, land conversion waiver, 25% capital subsidy for MSME tourism units, 10% for large projects, and up to 100% SGST reimbursement for up to 15 years. See our Andhra Pradesh tourism policy guide.

Question 7

What is the Telangana tourism policy for hotel and resort projects?

Accepted Answer

Telangana Tourism Policy 2025–30 targets ₹15,000 crore investment with tiered capital subsidy, GST reimbursement, and land conversion charge waivers for projects from ₹10 crore to ₹500 crore. Benefits vary by Hyderabad/HMDA vs district circuits. See our Telangana tourism policy guide.

Question 8

What is the Madhya Pradesh tourism policy for hotels?

Accepted Answer

Madhya Pradesh Tourism Policy 2025 offers 15% capital subsidy across hotel categories (caps ₹50 lakh to ₹5 crore by type), stamp duty reimbursement, and mega-project grants up to ₹90 crore for ₹100 Cr+ investments. Applications run through Invest MP. See our MP tourism policy guide.

Question 9

How much capital subsidy can a hotel get under state tourism policies?

Accepted Answer

Capital subsidy ranges from 10% to 25% of eligible FCI depending on state and zone: Karnataka up to 25%, Maharashtra and Gujarat up to 20%, Madhya Pradesh 15%, Rajasthan 10–20% via RIPS, Andhra Pradesh 10–25% by project size. Category caps apply in every state.

Question 10

Is stamp duty waived under state tourism policies?

Accepted Answer

Most state tourism policies offer 75–100% stamp duty exemption or reimbursement on eligible tourism land — Gujarat and Andhra Pradesh up to 100%, Rajasthan 75%, Maharashtra 50–100% by zone. Apply before land registration where the policy requires pre-approval.

Question 11

Can I compare state tourism policies before buying land?

Accepted Answer

Yes. Use our multi-state hotel subsidy calculator, read each state tourism policy guide on this site, or submit a project intake for a cross-state comparison based on your FCI, location, and hotel category.

Question 12

Do you provide advisory on every state tourism policy listed?

Accepted Answer

Yes. Hotel Subsidy Solutions advises on all seven state tourism policies we cover — Maharashtra, Gujarat, Rajasthan, Karnataka, Andhra Pradesh, Telangana, and Madhya Pradesh — including registration, stamp duty, capital subsidy claims, and SGST/GST reimbursement.

Question 13

What is the Maharashtra Tourism Policy 2024?

Accepted Answer

MTP 2024 was notified on 18 July 2024 by the Maharashtra Tourism Department (GR TDS-2022/09/CR 542/Tourism-4). It is a 10-year policy (valid until 17 July 2034) offering fiscal and non-fiscal incentives to eligible tourism units including hotels, resorts, homestays, MICE centres, and adventure tourism projects.

Question 14

Who is eligible for hotel subsidies in Maharashtra?

Accepted Answer

Hotels, motels, and resorts with a minimum of 10 rooms are eligible under Accommodations Category (A). The unit must obtain a Directorate of Tourism NOC, secure building sanction with tourism FSI, then receive a Provisional Registration Certificate (PRC) after sanction. First investment must be on or after 18 July 2024.

Question 15

How much capital investment subsidy can a hotel get?

Accepted Answer

Hotels and resorts can receive 20% of eligible Fixed Capital Investment (FCI) or ₹20 crore, whichever is lower. The subsidy is disbursed in 5 equal annual installments from the Commercial Operation Date. Land cost is excluded from FCI except for SGST calculation purposes.

Question 16

What is the stamp duty exemption for tourism projects?

Accepted Answer

Stamp duty and registration charge exemption on sale deeds, lease deeds, and mortgage instruments: 50% in Zone A, 75% in Zone B, and 100% in Zone C and STZ/STD. You must obtain the stamp duty NOC from the Directorate of Tourism prior to land purchase — before executing the sale or lease deed. Retrospective exemption is not available.

Question 17

When should I apply for stamp duty exemption?

Accepted Answer

Before you purchase land. Contact Hotel Subsidy Solutions first, then obtain the stamp duty NOC from the Directorate of Tourism prior to any land transaction. Only after the stamp duty NOC is in place should you proceed to register the property, then apply for the DoT NOC for FSI, building sanction, and PRC.

Question 18

Is there a 100% FSI waiver for hotels in Maharashtra?

Accepted Answer

MTP 2024 provides additional FSI/FAR based on road width (up to 3.0–5.0 depending on location), not a blanket 100% waiver. In BMC areas, additional FSI is at 50% premium. Vidarbha, Marathwada, Dhule, Nagpur, Ratnagiri, and Sindhudurg have zero premium on additional FSI. Other regions pay 50% of UDCPR premium, with installment payment allowed.

Question 19

How does SGST reimbursement work for hotels?

Accepted Answer

SGST reimbursement is a percentage of net SGST paid: 50% (Zone A), 75% (Zone B), or 100% (Zone C & STZ) for the eligibility period (5–10 years depending on zone and project size). Total reimbursement is capped at eligible FCI and cannot exceed the policy eligibility period.

Question 20

What is the interest subvention for hotel term loans?

Accepted Answer

Up to 5% interest subvention on term loans for eligible tourism units. Loan caps and ceilings vary by zone: e.g., Zone A MSME — loan up to ₹5 Cr, ceiling ₹20 lakh; Zone C Mega — loan up to ₹15 Cr, ceiling ₹30 lakh. Interest subvention applies only to term loans, not working capital.

Question 21

How do I apply for tourism FSI in Maharashtra?

Accepted Answer

Contact Hotel Subsidy Solutions first. The process is: (1) Stamp duty NOC prior to land purchase; (2) Land purchase or lease; (3) DoT NOC for tourism FSI; (4) Building sanction; (5) PRC issued after building sanction. We handle the full sequence on your behalf.

Question 22

How do I apply for Maharashtra tourism subsidies?

Accepted Answer

Contact our team to start. Step 1: Eligibility review. Step 2: Stamp duty NOC before land purchase. Step 3: Land purchase or lease. Step 4: DoT NOC for FSI. Step 5: Building sanction. Step 6: PRC after sanction. Step 7: Final Registration and annual claims after commercial operations.

Question 23

What is a Mega Tourism Project under MTP 2024?

Accepted Answer

Mega projects meet both FCI and employment thresholds: Zone A — ₹300 Cr FCI + 400 jobs; Zone B — ₹150 Cr + 200 jobs; Zone C — ₹100 Cr + 50 jobs; STZ — ₹50 Cr + 50 jobs. Ultra-Mega projects require ₹500 Cr FCI and 800 jobs anywhere in Maharashtra.

Question 24

Can existing hotels claim MTP 2024 incentives?

Accepted Answer

Incentives apply to new projects or substantial expansion where first investment or term loan disbursement is on or after 18 July 2024. Projects under Tourism Policy 2016 that have not commenced commercial operations automatically transition to MTP 2024 benefits.

Question 25

What documents are needed for subsidy claims?

Accepted Answer

PRC application requires DPR, land ownership/lease documents, entity registration, and project cost breakdown. Annual claims require CA-certified FCI statements, purchase invoices, bank statements, SGST returns, electricity bills, and loan statements for interest subvention.

Question 26

Are homestays and resorts eligible for the same benefits?

Accepted Answer

Homestays, B&B, and vacation rentals fall under Accommodations (B) with 15% capital incentive (cap ₹15 Cr). Resorts and hotels under Category (A) get 20% (cap ₹20 Cr). SGST, stamp duty, electricity, and interest benefits follow the same zone-based schedule.

Hotel subsidy & state tourism policy FAQ

State tourism policies — India

Maharashtra Tourism Policy 2024

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