IT/ITES Policy 2016 - 2021 Policy Operative Period - 2016 to 2021


Realizing to the fullest possible extent the infinite potential of the Equation:

IT + IT = IT

that is, Indian Talent + Information Technology =  India Tomorrow

To create and build a vibrant and sturdy edifice of IT/ITES Eco-system on the basis of innovation and knowledge capital, to utilize huge talent pool of young India and to contribute to the overall economy and prosperity of the State and the Nation.


  • To increase the current investment in IT/ITES sector 10 fold
  • To increase the turnover up to USD 15 Billion
  • To increase IT exports from the State up to USD 2 Billion
  • To promote and develop employment opportunities in the IT and Tles sector and provide direct employment to Rs. 10 Lakh persons
  • To focus, inter alia, on financial services, mobile applications, animation, 3D-Gaming, digital entertainment, cloud, big-data and internet-of-things

Policy Features:

Incentive for IT Parks

  • Capital Subsidy Horizontal Park: 25% of fixed capital investment in building and infrastructure facilities, excluding cost of land, subject to ceiling of Rs. 25 Crore
  • Vertical Park: Rs. 300 per sqft. for build-up area subject to a ceiling of Rs. 25 Crore
  • Power Tariff subsidy at Rs. 1 per unit on the billed amount for a period of 5 years
  • 100% reimbursement for electricity duty for a period of 5 years
  • 100% reimbursement of Stamp Duty and Registration Fee

Incentive for IT/Tes Units

  • 25% of capital expenditure for one time purchase of computers, networking and related hardware, subject to a ceiling of Rs. 1 Crore
  • 100% reimbursement of stamp duty and registration fee
  • Lease rental subsidy of Rs. 8/Sqft to Rs. 3 /Sqft for units with up to 20 employees to more than 100 employees
  • Interest Subsidy of 7% for Micro enterprises up to Rs. 25 Lakh p.a., 5% for Small and Medium Enterprises up to Rs. 50 Lakh p.a.
  • Tax reimbursement would be provided
  • Power Tariff subsidy at Rs.1 per unit on the billed amount for a period of 5 years.
  • EPF contribution made for the incremental employees operating out of offices in Gujarat for a period of five years.
  • Patent Assistance at the rate of 50%, subject to a ceiling of Rs.2 Lakh per patent for domestic patents and Rs. 5 Lakh per patent for international patents.
  • Assistance to MSMEs and Associations for participation in International Trade fairs.
  • Assistance to industry associations for participation in international trade fair as Gujarat Pavilion and Viability Gap Support for organizing seminars/exhibitions in Gujarat.
  • Assistance of up to 60% of the project cost, excluding land and building, subject to a maximum of Rs. 50 Lakh for setting up R&D Institutions, testing facilities, finishing schools.
  • Quality Certification assistance to Gujarat based MSME IT/TeS units fora maximum of three industry standard quality certifications, at a rate of 50% of cost of quality certification within the overall ceiling of Rs. 6 Lakh in 5 years
  • Skill Enhancement assistance of 50% of cost incurred in acquiring skill by employees of MSMEs subject to ceiling of Rs. 10,000 per employee per annum and Rs. 1 Lakh p.a. for the unit.

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