What is the Karnataka Tourism Policy 2024–29?
Karnataka Tourism Policy 2024–29 targets ₹7,800 crore investment, 48 crore domestic tourist visits, and 47,000 direct jobs by 2029. The policy covers 25 tourism themes and 44 identified projects with subsidies, concessions, and institutional support.
Hotel projects outside Bengaluru Urban / BBMP limits receive the strongest capital investment subsidy — up to 25% capped at ₹10 crore. Projects in Kalyana-Karnataka and Kittur Karnataka regions receive an additional 5% for women, SC, ST, and differently-abled entrepreneurs.
The policy emphasises adventure tourism (50 land/water/air destinations by 2029), homestays, agro-tourism, caravan parks, and MICE infrastructure alongside conventional hotels and resorts.
Policy snapshot
| Detail | Information |
|---|---|
| Policy name | Karnataka Tourism Policy 2024–29 |
| Short name | KTP 2024–29 |
| State | Karnataka |
| Notified | 2024 |
| Valid until | 2029 |
| Reference | Cabinet-approved Tourism Policy 2024–29 |
| Nodal agency | Department of Tourism, Government of Karnataka |
| Application portal | Karnataka Tourism investment facilitation / district tourism committees |
Fiscal incentives at a glance
| Incentive | Rate / benefit | How it works |
|---|---|---|
| Capital Investment Subsidy | Up to 25% of FCI | Cap ₹10 Cr; outside Bengaluru Urban / within BBMP limits per policy tables |
| Additional Subsidy | +5% for priority entrepreneurs | Women, SC, ST, differently-abled; Kalyana-Karnataka & Kittur Karnataka |
| Stamp Duty Exemption | 100% on land & loan documents | Sale/lease land documents and loan registration |
| Registration Charges | Exempted | Land and loan document registration |
| Land Conversion Fee | Reimbursement | For new and expanding tourism projects |
| Motor Vehicle Tax | Reimbursement 5 years | New tourist buses and cabs for registered service providers |
| Interest Subsidy | Available | For eligible tourism project categories |
Zones, regions & categories in Karnataka
Incentive rates in Karnataka vary by location, project size, and unit category. Use the table below as a planning reference — confirm your classification with the nodal agency before land acquisition.
| Region | Coverage | Capital subsidy | Stamp duty | Notes |
|---|---|---|---|---|
| Outside Bengaluru Urban | Rest of Karnataka | Up to 25% capital (₹10 Cr cap) | Stamp duty exempt | Full package |
| BBMP / Bengaluru limits | Bengaluru city | Reduced rates per policy | Partial concessions | MICE, premium hotels |
| Kalyana-Karnataka | Bidar, Kalaburagi, Yadgir, etc. | +5% additional subsidy | Enhanced package | Priority region |
| Kittur Karnataka | Belagavi, Vijayapura, etc. | +5% additional subsidy | Enhanced package | Priority region |
Eligible tourism units in Karnataka
Hotels
Budget and premium hotel projects per policy project categories
Resorts & Wellness
Resort, wellness centre, spa tourism projects
Homestays & Agro-tourism
Supported homestay and agri-tourism registration and incentives
MICE & Convention
Convention centres, MICE venues, cultural villages
Adventure Tourism
Adventure parks, caravan parks, houseboats, cruise tourism
Heritage
Heritage hotels, museums, sound & light shows
Capital investment subsidy rules
- Register tourism project with Department of Tourism
- Capital subsidy based on project category and location
- Disbursement per policy schedule after COD
- Land cost treatment per eligible FCI definition
- Expansion projects eligible under separate category rules
Stamp duty & registration in Karnataka
- Benefit: Exemption on stamp duty and registration charges
- Applies to: Land sale/lease documents; Loan documents
- Timing: Apply per policy before or at transaction; reimbursement for conversion fees post-approval
FSI / FAR & development regulations
FSI/FAR per local DCR norms; tourism projects in identified circuits receive planning support
Policy focuses on capital subsidy and tax exemptions rather than blanket FSI waiver
Non-fiscal benefits
- Industry status for tourism sector
- Tourism Investment Facilitation Cell as nodal agency
- District tourism committees for local alignment
- Single-window registration of tourism projects and service providers
- Marketing support for registered tourism units
- 680 acres tourism land bank for investor projects
Incentive deep-dives — Karnataka
Detailed guides on stamp duty, capital subsidy, SGST/GST, heritage hotels, and location-specific incentives under Karnataka Tourism Policy 2024–29.
Subsidy outside Bengaluru · Bengaluru hotel incentives · Stamp duty exemption · Land conversion fee
How to apply for Karnataka tourism subsidies
Full step-by-step application guide for Karnataka →
Step 1 — Tourism Investment Facilitation Cell
Contact the facilitation cell for project classification, location-based incentive mapping, and registration requirements.
Step 2 — Project registration
Register hotel/resort project under KTP 2024–29 with DPR, land documents, and category selection.
Step 3 — Land conversion & stamp duty
Apply for land conversion fee reimbursement and stamp duty/registration exemptions before land transaction where required.
Step 4 — Building sanction
Obtain local authority building permission for hotel/resort development.
Step 5 — COD and subsidy claims
After commercial operations, claim capital subsidy, conversion fee reimbursement, and other benefits annually.
Key conditions for all incentives
- Project registration with Karnataka Tourism mandatory
- Location determines capital subsidy rate (Bengaluru vs rest of state)
- Entrepreneur category may qualify for additional 5%
- Commercial operations within policy investment timelines
- Compliance with environmental and building regulations
Frequently asked questions — Karnataka hotel subsidies
What capital subsidy do hotels get under Karnataka Tourism Policy 2024–29?
Tourism projects outside Bengaluru Urban district can receive up to 25% capital investment subsidy capped at ₹10 crore. Projects inside BBMP limits receive reduced rates per policy tables. Women, SC, ST, and differently-abled entrepreneurs in Kalyana-Karnataka and Kittur Karnataka receive an additional 5%.
Is stamp duty exempt for hotel land in Karnataka?
Yes. The policy provides exemption on stamp duty and registration charges for land sale/lease documents and loan documents for eligible new and expanding tourism projects. Land conversion fee reimbursement is also available.
Do Bengaluru hotel projects qualify for Karnataka tourism subsidies?
Projects within BBMP / Bengaluru Urban limits qualify under separate, typically lower incentive rates focused on MICE and premium hospitality. The maximum 25% capital subsidy applies primarily to projects outside Bengaluru Urban district.
How do I register a hotel project under KTP 2024–29?
Contact the Tourism Investment Facilitation Cell, register your project with the Department of Tourism, apply for stamp duty and conversion fee benefits before land transactions, obtain building sanction, and file annual subsidy claims after commercial operations.
Official Karnataka tourism resources
Department of Tourism, Government of Karnataka — official portal →