Capital Subsidy

What is Capital Subsidy?

"Capital Subsidy" by the MSME Dept, Govt of Tamil Nadu, assists MSMEs in reducing their burden of capital procurement. The subsidy is provided for 25% of eligible plant and machinery costs for MSMEs, with an additional capital subsidy for MSMEs set up by Women/SC/ST/Transgender/PwD entrepreneurs.

Benefit

- 25% capital subsidy on the value of eligible plant and machinery, subject to a maximum of ₹ 150,00,000. - Additional capital subsidy for enterprises set up by Women / Scheduled Caste / Scheduled Tribe / Differently Abled and Transgender entrepreneurs at the rate of 5% on the value of eligible plant and machinery, subject to a maximum of ₹ 5,00,000. - Additional Capital subsidy of 10% for micro-enterprises on the investment made in plant and machinery value, subjected to a maximum of ₹ 5,00,000. - All existing Micro and Small Manufacturing Enterprises set up anywhere in Tamil Nadu graduating to higher category by undertaking expansion/diversification are eligible for a 5% additional capital subsidy subject to a maximum of ₹ 25,00,000 for scaling up. - Additional Capital Subsidy at the rate of 25% of plant and machinery value installed to promote such technology subjected to a maximum of ₹ 10,00,000 for new and existing enterprises promotes cleaner and environmentally friendly technologies.

Level

State — Tamil Nadu

Ministry / Dept.

Micro Small and Medium Enterprises Department

Benefit type

cash

Key eligibility

1. All new micro manufacturing enterprises established anywhere in the state. 2. All new small and medium enterprises under following 24 thrust sectors established anywhere in the state (excluding additional capital subsidy and employment generation subsidy): _Electrical and electronic industry; Lea

Last verified

Recently

Benefits

- 25% capital subsidy on the value of eligible plant and machinery, subject to a maximum of ₹ 150,00,000. - Additional capital subsidy for enterprises set up by Women / Scheduled Caste / Scheduled Tribe / Differently Abled and Transgender entrepreneurs at the rate of 5% on the value of eligible plant and machinery, subject to a maximum of ₹ 5,00,000. - Additional Capital subsidy of 10% for micro-enterprises on the investment made in plant and machinery value, subjected to a maximum of ₹ 5,00,000. - All existing Micro and Small Manufacturing Enterprises set up anywhere in Tamil Nadu graduating to higher category by undertaking expansion/diversification are eligible for a 5% additional capital subsidy subject to a maximum of ₹ 25,00,000 for scaling up. - Additional Capital Subsidy at the rate of 25% of plant and machinery value installed to promote such technology subjected to a maximum of ₹ 10,00,000 for new and existing enterprises promotes cleaner and environmentally friendly technologies.

Eligibility

Documents Required

How to Apply

1. Step 1: Online application — step 1

   *Access the User Manual for Online Application here

2. Step 2: Online application — step 3

   Step 1: Registration

3. Step 3: Online application — step 4

   Visit the Official Website/Portal of the Micro, Small, and Medium Enterprises Department of the Government of Tamil Nadu. In the top ribbon, click " Login / Registration ". In the registration form, fill in the mandatory details accurately, Name, Date of Birth, Aadhaar Number, Email ID, and Mobile Number. Create a new password. The password must contain a minimum of 8 characters, 1 Upper Case Letter, 1 Lower Case Letter, and 1 Numeric Field. Fill in the captcha code, and click "Register".

4. Step 4: Online application — step 6

   Step 2: Login

5. Step 5: Online application — step 7

   Visit the Login Page and click "Login", and then fill in the credentials received on your registered Email ID and the registered Mobile Number.

6. Step 6: Online application — step 9

   Step 3: Form Filling

7. Step 7: Online application — step 10

   After successfully logging in, hover over "Schemes" in the top ribbon, and then click on the concerned scheme from the dropdown. On the next page, hover over "Apply Online" in the top ribbon, and then click on "New Application" from the dropdown. Fill in all the mandatory fields of the Application Form. Carefully review all the information provided, acknowledge and agree to the terms and conditions, declaration, and privacy policy, and then click "Proceed". Note down the reference number appearing on the screen and then click "Close".

8. Step 8: Online application — step 12

   Step 4: Upload Documents

9. Step 9: Online application — step 13

   Now, hover over "Schemes" in the top ribbon, and then click "Upload Documents" from the dropdown. On the next page, provide the Application ID and click "Submit". On the next page, upload all the mandatory documents in the specified format and size. After uploading the documents, click "View" to verify the documents uploaded for correctness.

10. Step 10: Online application — step 15

    Step 5: Submission

11. Step 11: Online application — step 16

    Fill in all the checkboxes appearing at the bottom of the screen and then click "Submit Application". The message regarding the submission of the online application to GM/DIC / RJD will be received on your mobile phone.

12. Step 12: Online application — step 18

    (Optional) Step 6: Track Application Status

13. Step 13: Online application — step 19

    You can check the status of your application here . The portal may provide updates via email or SMS regarding your application status.

14. Step 14: Online application — step 21

    NOTE 1: The application and the documents submitted through the online portal are sufficient and there is no need to submit the hard copy of the application and documents to GM/DIC/RJD either in person or by Post.

15. Step 15: Online application — step 22

    NOTE 2: The application should be submitted within 1 year from the date of commencement of commercial production.

16. Step 16: Online application — step 24

    *Access the Preview of the Application Form here

17. Step 17: Online application — step 25

    *Access the Sample of a Filled Application Form here

Sources & References

• Official scheme website ↗
• Source record ↗
• Information is summarised from official government sources. Verify all details on the official website before applying.