🏢 Introduction
The Uttar Pradesh IT and ITeS Policy 2022 aims to transform the state into a global IT hub by enhancing infrastructure, fostering innovation, and providing a range of incentives to investors and stakeholders in the IT and ITeS sector.
🎯 Objectives
- Develop world-class IT infrastructure, including IT Parks and IT Cities.
- Promote innovation through Centers of Excellence (CoEs) in emerging technologies like AI, Blockchain, Big Data, Cloud Computing, and IoT.
- Enhance skill development and capacity building in the IT sector.
- Attract domestic and foreign investments in the IT and ITeS sector.
- Boost exports and generate employment opportunities across the state.
💰 Financial Incentives
- Capital Investment Subsidy
- 10% subsidy on Fixed Capital Investment (FCI), up to ₹50 crore.
- Applicable to new and expansion IT/ITeS units with a minimum FCI of ₹5 crore.
- Disbursed in annual installments over five years, with each installment not exceeding ₹10 crore.
- Operating Expense Subsidy
- 10% reimbursement on operating expenses, including:
- Lease rentals (up to ₹50 per sq. ft. per month).
- Bandwidth expenses.
- Data center/cloud service costs (from UP-based service providers).
- Power charges.
- Available for a period of 5 years, capped at ₹20 crore per annum.
- Land Cost Reimbursement
- 25% reimbursement on the cost of land, up to ₹50 crore.
- Subject to region-wise minimum employment criteria and continuous employment for one year.
- Interest Subsidy
- 7% interest subsidy on term loans from scheduled banks/financial institutions, up to ₹1 crore per annum.
- Available for 5 years from the commencement of commercial operations.
- Stamp Duty Exemption
- 100% exemption on stamp duty for purchase/lease of land/office space/buildings for IT/ITeS use.
- Applicable to units commencing operations within stipulated time limit.
- EPF Reimbursement
- 100% reimbursement of the total EPF amount paid for IT/ITeS professionals of Uttar Pradesh domicile.
- Applicable for Women/SC/ST/Transgender/Divyangjan employees.
- Up to ₹2,000 per employee per month, capped at ₹1 crore per annum for 5 years.
- Recruitment Assistance
- ₹20,000 per employee for recruitment assistance.
- Applicable to new employees from Uttar Pradesh domicile, employed for a continuous period of one year
- Incentives for Certifications
- Reimbursement of costs incurred on obtaining quality and IT-related certifications like CMM Level 2 and above, ISO 27001, ISO 20000, COPC, eSCM, etc.
- Maximum reimbursement of ₹25 lakh per unit for up to three certifications.
- Patent Filing Cost Reimbursement
- 100% reimbursement of actual filing costs on awarded patents, up to ₹5 lakh.
- Applicable to units located within Uttar Pradesh.
- Skill Development Support
- 50% reimbursement of course fees, up to ₹50,000 per candidate.
- Applicable to employees undergoing training in emerging technologies.
📅 Policy Duration
The Uttar Pradesh IT and ITeS Policy 2022 is effective from November 19, 2022, and will remain in force for a period of 5 years or until a new policy is introduced.
