IPSSRSD

Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty

5.5/10

The Investment Promotion Scheme (IPS) includes a Scheme for Reimbursement of Stamp Duty, aimed at supporting new and existing manufacturing or service units in Dadra and Nagar Haveli & Daman and Diu. This initiative, implemented by the Department of Industries, offers financial incentives to encourage business growth and expansion. Eligible units can receive varying levels of reimbursement on stamp duty: up to 100% for units in Thrust Sectors, 50% for MSMEs, and 25% for other units. To qualify, businesses must have commenced commercial production between May 20, 2022, and May 19, 2027, and must be located within the Union Territory. Reimbursement is contingent upon the purchase of the required land and the development of at least 25% of the necessary infrastructure. This scheme not only alleviates the financial burden associated with stamp duty but also fosters economic growth and job creation in the region.

State Cash

States / UT: Dadra & Nagar Haveli and Daman & Diu

Nodal department: Department of Industries

Scheme for: Individual

Scheme profile

DBT (direct benefit transfer): No

Scheme open date: 2015-07-03

Categories: Business & Entrepreneurship

Sub-categories: Setting up / start-up / entrepreneurship

Target beneficiaries: Business Entity, Industries

Tags: Stamp Duty, MSMEs, Incentives, Entrepreneurship, Subsidy, Reimbursement, IPS

Details

The scheme “Scheme For Reimbursement Of Stamp Duty” is a sub scheme under the “Investment Promotion Scheme (IPS)”. It was launched on 3rd July, 2015 for a period of five years by the Dept. of Industries, U.T. Administration Of Dadra & Nagar Haveli And Daman & Diu. Now it has been extended further from 20th May, 2022 and shall be operative till 19th May, 2027.
Objective of the "Investment Promotion Scheme (IPS)”:
The scheme envisages to provide incentives and assistance to the MSME Sector in order to nurture them and protect them from market vagaries thereby making them vibrant and successful, therefore making the U.T. a Special Hub for the MSME sector; maximize Women participation in the business sector, reduce unemployment among the local residents and incentivize the industries to employ resident laborers etc.
Objective of the "Scheme For Reimbursement Of Stamp Duty" Sub-scheme:
Under this scheme, New Units as well as the units undertaking Expansion/ Diversification will be reimbursed payment of Stamp duty during the operative period of the Scheme for acquiring land.

Benefits

  • - For MSME sector: 50% reimbursement. - For units other than MSMEs: 25% reimbursement. - For Thrust Sectors: 100% reimbursement. - For Industrial units located in the Industrial Parks: 50% reimbursement. Note: Reimbursement of Stamp duty will be made only after purchase of total required land and development of at least 25% of the infrastructure as required by the institutions developing the Industrial parks
  • For MSME sector: 50% reimbursement. - For units other than MSMEs: 25% reimbursement. - For Thrust Sectors: 100% reimbursement. - For Industrial units located in the Industrial Parks: 50% reimbursement.
    Note: Reimbursement of Stamp duty will be made only after purchase of total required land and development of at least 25% of the infrastructure as required by the institutions developing the Industrial parks.

Eligibility

  • Should be a New Manufacturing/ Service units or Existing Manufacturing/ Service units which undertakes Expansion/ Diversification in MSME sector.
  • The unit should have commenced the commercial production between 20.05.2022 to 19.05.2027.
  • Unit should be located in the U.T. of Dadra and Nagar Haveli & Daman and Diu.

Exclusions

  • An Industrial unit that has availed similar incentive, shall not be eligible for the incentive under this Scheme.

How useful is this scheme?

Public benefit analysis

A practical look at this scheme for citizens

AI-generated insights showing how useful, accessible, and practical this scheme may be — combining deterministic scoring rules with a public-policy LLM analyst.

5.5
/ 10
Public Benefit Score
Accessibility 5.0/10 Moderate
Rural usefulness 5.0/10 Moderate
Application complexity 5.0/10 Moderate
Financial impact 6.0/10 Moderate
Literacy barrier 6.0/10 Moderate
Women inclusivity 6.0/10 Moderate
Awareness 4.5/10 Moderate
Implementation reliability 7.0/10 Good
Bigger shape means a better fit for citizens
  • Accessibility5.0
  • Financial impact6.0
  • Rural utility5.0
  • Awareness4.5
  • Simplicity5.0
  • Inclusivity6.0

What problem does this scheme solve?

The scheme provides financial incentives for businesses in specific sectors, promoting economic growth in the region.

Key challenges addressed

  • Financial burden of stamp duty for new and expanding businesses

Most beneficial for

  • MSMEs
  • New manufacturing and service units

Likely challenges

  • Complex online application process
  • Limited awareness among potential beneficiaries

Practical insights for citizens

While the scheme offers financial support, the complexity of the application process may deter potential beneficiaries.

Rural challenges

  • Limited internet access
  • Lack of awareness about the scheme

Digital challenges

  • High digital dependency for application
  • Need for email and mobile verification

Implementation bottlenecks

  • Potential delays in reimbursement processing

Awareness challenges

  • Low visibility of the scheme among rural entrepreneurs

Application analysis

Application mode
Online portal
Documents burden
Minimal, but specific documents required for verification
Verification complexity
Moderate, requires online verification steps
Office dependency
Low, primarily online
DBT dependency
No direct benefit transfer involved
CSC support
Limited
Estimated citizen effort
Moderate effort required for application

Estimated beneficiary reach

  • Rural / urban reach Moderate
  • Gender reach Moderate
  • Occupation reach Business entities and industries

Benefit analysis

Benefit type
Cash
Benefit frequency
One-time reimbursement upon meeting conditions
Benefit practicality
Practical for eligible units but requires upfront investment
Financial meaningfulness
Moderate, as it alleviates some costs but may not cover all expenses
Long-term impact
Positive impact on local economy and job creation if widely utilized

Plain-language guidance

This scheme helps businesses in Dadra and Nagar Haveli & Daman and Diu by reimbursing part of the stamp duty they pay when starting or expanding. It's aimed at supporting new and existing businesses.

Who should apply
New manufacturing or service units and existing units expanding their operations.
Who may struggle
Semi-literate individuals and those unfamiliar with online processes.
Best application route
Apply via the official online portal after registering your business.

This intelligence section is generated by an AI policy analyst combined with rule-based scoring. Scores and narrative are estimates derived from the publicly available scheme information shown on this page; actual experience may vary by state, district, and department. Always confirm details on the official portal before you apply.

Application Process

Online

Registration Process:

Step 1: Visit the Registration page of the Official Website.
Step 2: Provide the information in the respective input spaces and click on “Register”.
Step 3: Verify your email address using the verification link sent on your email (If Mail is Not Received Your Inbox. Please Check the Spam).
Step 4: Click the Link/URL in the received email or Paste Link/URL in browser's address bar to complete your Account Verification.
Step 5: Now enter “111111” as OTP to verify your mobile number. Mobile Number and Pin Successfully will be sent to the registered Email Address.
Step 6: On successful registration the login credentials will be received in the registered email.

Application Process:

Step 1: Visit the user Login page of the Official Website.
Step 2: Enter registered Mobile Number along with PIN sent on your email then click “Log In”.
Step 3: On successful Log In, from the left side menu bar click on “Departments & Services” tab.
Step 4: Scroll down to “District Industries Centre DD & DNH” and click on the “Click Here” button to apply for “Investment Promotion Scheme : 2022 to 2027 (20 May 2022 to 19 May 2027)”.
Step 5: “Common Application Form” will be open. Enter all the details in required input fields and upload all the mandatory documents.
Step 6: After successful entry of the information, verify all the details and click on the “Submit” button to complete the application process.

Helpdesk:

District Industries Centre,
Contact No.: 0260-2260871 / 0260-2260310
E-mail Address: dic-dd@nic.in
For Technical Assistance on Single Window Portal (i.e. https://investdd.in) Contact No. : 0260-2231885 / 2231886 E-Mail : ddegs-dd@nic.in

Clarifications

Additional points from the scheme information published on myScheme (not legal advice).

What is the Stamp Duty Reimbursement Scheme?

The Stamp Duty Reimbursement Scheme provides financial relief by reimbursing a portion or all of the stamp duty paid by eligible industrial units and industrial park developers, depending on their classification and development stage.

What is the reimbursement rate for the MSME sector?

MSMEs are eligible for a 50% reimbursement of the stamp duty they pay.

What is the reimbursement rate for units other than MSMEs?

Units that are not classified as MSMEs can receive a 25% reimbursement of the stamp duty they pay.

What is the reimbursement rate for industrial complexes dedicated to Thrust sectors?

Industrial complexes that are solely dedicated to industrial units identified as Thrust sectors under this scheme can receive a 100% reimbursement of the stamp duty.

When is the reimbursement of stamp duty provided?

Reimbursement is made only after the total required land has been purchased and at least 25% of the necessary infrastructure, as stipulated by the institutions developing the industrial parks, has been developed.

Are industrial units within industrial parks eligible for stamp duty reimbursement?

Yes, industrial units located within the industrial parks are eligible for a 50% reimbursement of the stamp duty paid on the purchase of a plot within the park.

What additional documentation is required for the reimbursement application?

Required documents typically include land purchase agreements, receipts of stamp duty payment, and evidence showing the development of at least 25% of the required infrastructure for industrial parks.

How does this scheme benefit industrial units?

The scheme reduces the financial burden of stamp duty, encouraging the establishment and expansion of industrial units, and supporting the development of industrial parks, thereby fostering economic growth and job creation.

What types of enterprises are eligible for this Scheme?

This Scheme is applicable to both new enterprises and existing or new units that are undertaking expansion or diversification projects completed during the operative period of the Scheme.

Can an enterprise that has received similar incentives from other schemes apply for this Scheme?

No, an industrial undertaking that has availed similar incentives under any other scheme of the U.T Administration is not eligible for incentives under this Scheme.

What happens if an enterprise fails to continue production for five years?

If an enterprise fails to continue production for five years, the amount of capital investment subsidy disbursed will be recovered as arrears of land revenue.

Does the Scheme apply to only new projects or can existing projects also qualify?

The Scheme applies to both new projects and existing projects that are undergoing expansion or diversification during the operative period of the Scheme.

What is meant by the 'operative period of the Scheme'?

The operative period of the Scheme refers to the specific timeframe during which the Scheme is active and applicable.

What kind of projects qualify for the Scheme?

Projects that qualify include new enterprises starting their production, as well as existing enterprises that are expanding or diversifying their production capabilities.

Is there any monitoring mechanism to ensure that enterprises comply with the five-year production requirement?

Yes, enterprises will be monitored to ensure compliance with the requirement to remain in production for five years. Failure to comply will result in recovery of the subsidy as arrears of land revenue.

Are there any penalties for providing false information to avail of the Scheme?

Yes, providing false information to avail of the Scheme can lead to disqualification from receiving the incentive, recovery of disbursed subsidies, and possible legal action.

What happens to the benefit of the incentive if a newly setup enterprise is sold or transferred to a new owner within the first five years of its establishment?

If a newly setup enterprise is sold or otherwise transferred to a new owner during the period of five years, the benefit of the incentive shall be available to such transferee or the new owner, only for the unexpired portion.

What is the definition of Expansion/ Diversification?

Expansion/Diversification means where an existing / New Enterprise increases its investment by at least 50% (out of which at least 60% of investment is made in plant and machinery for which expansion is carried out) of its existing Gross Fixed capital investment on the date of initiating expansion and compared with the date of commencing production during the operative period of the scheme. Only one Expansion / Diversification will be eligible for assistance during the operative period of the Scheme.

What measures are in place to prevent misuse of the subsidy scheme?

Strict guidelines, documentation requirements, and verification procedures are in place to ensure that subsidies are availed by eligible enterprises for genuine purposes only.

What is the operative period of the scheme?

The operative period of scheme is from 20.05.2022 till 5 years that is 19.05.2027.

If an enterprise is established in 2023 and becomes eligible for the scheme what would be the time period in which benefits are applicable?

The enterprise can avail benefit commencing from date of production till 5 years even if that period falls beyond operative period.

How can an eligible unit apply to get the benefits of the scheme?

The eligible unit can apply by visiting single window portal website which is "swp.dddgov.in", and once page pops-up the user have to go to departments tab and select district industries tab under which the user have to click on apply for investment promotion scheme: 2022 to 2027.

What is meant by Gross Fixed Capital Investment (GFCI)?

In case of Manufacturing Sector, Gross Fixed Capital Investment means the investment made in building, plant and machinery, utilities, tools and equipment, and other assets (excluding Land) required for manufacturing the end product. In case of Service Sector, the Gross Fixed Capital Investment means the investment made in plant and machinery, utilities, tools and equipment, and other assets (excluding land and building) required for the services provided.

References

Guidelines
https://swp.dddgov.in/assets/pdf/Notification_IPS_2022_DNH_DD.pdf
FAQs
https://swp.dddgov.in/assets/pdf/FAQs_IPS_2022.pdf

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Frequently asked questions

What is the purpose of Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty is a government welfare initiative designed to support Individual, Business Entity, Industries through benefits related to Business & Entrepreneurship, financial assistance, subsidies, social welfare, healthcare, education, or livelihood support.
Who can apply for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Eligibility for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty may depend on factors such as income category, age, gender, occupation, state of residence, social category, and government-defined beneficiary criteria.
What benefits are offered under Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Benefits under Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty may include financial assistance, subsidies, scholarships, insurance support, healthcare benefits, pension support, training assistance, or welfare services depending on the scheme guidelines.
Which department manages Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty is managed by Department of Industries and may be implemented through district offices, online portals, CSC centres, banks, or authorised government agencies.
Can users apply online for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Yes, eligible applicants may be able to apply online for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty through official government portals, authorised service centres, or digital application systems depending on the implementation process.
Is Aadhaar mandatory for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Many government schemes may require Aadhaar verification, identity proof, or linked bank account details for beneficiary validation and direct benefit transfer processing.
Where can users apply for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Applications for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty may be submitted through government departments, official scheme portals, CSC centres, district offices, welfare departments, or authorised service centres.
What documents may be required for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Applicants may need Aadhaar card, income certificate, residence proof, bank account details, caste certificate, photographs, educational records, or occupation-related documents depending on scheme eligibility requirements.
Is Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty available in all states?
No, Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty is primarily available for eligible residents of Dadra & Nagar Haveli and Daman & Diu and may be implemented through state government departments and local administrative offices.
Can residents outside Dadra & Nagar Haveli and Daman & Diu apply for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Eligibility for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty is generally limited to residents of Dadra & Nagar Haveli and Daman & Diu unless otherwise specified in the official scheme guidelines.
Does Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty provide business loan or startup assistance?
Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty may support entrepreneurs, startups, self-employed individuals, MSMEs, or small businesses through financial assistance, subsidies, credit support, or training initiatives.
Is collateral required under Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Collateral requirements may vary depending on the loan amount, implementing agency, financial institution, and government subsidy structure.
Can CSC centres help users apply for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Many government schemes may be accessible through nearby CSC centres, authorised digital service centres, or welfare facilitation offices.
How can users check the latest updates for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Users should verify official notifications, department announcements, application deadlines, and eligibility updates through authorised government portals or implementing agencies.
Are there deadlines for applying to Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Some schemes may operate through fixed application windows, annual registration cycles, or department-specific deadlines depending on scheme implementation policies.
Can beneficiaries track application status for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty?
Certain schemes may provide online application tracking, beneficiary verification systems, or status-check facilities through official portals.
Where can users get help for Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty in Dadra & Nagar Haveli and Daman & Diu?
Users in Dadra & Nagar Haveli and Daman & Diu may seek assistance through CSC centres, district welfare offices, government departments, agriculture offices, social welfare departments, or authorised facilitation centres.
Which nearby public services may help with Investment Promotion Scheme (IPS): Scheme For Reimbursement Of Stamp Duty applications?
Depending on the scheme, users may require support from Aadhaar centres, CSC centres, banks, hospitals, post offices, or government welfare offices for document verification and application assistance.