Overview

Policy Calculator

APT Policy 2025

Policy Tables

Eligibility

Documents

Mistakes & FAQ

Expert Review

Capital Subsidy (15%–20%) IPA Route Statutory Eligibility

Estimate Your AP Tourism Policy 2025 Benefit Before Filing.

Calculate eligible capex, subsidy limits, IPA route incentives, employment quota and required statutory documents under AP Tourism Policy 2025.

Government Guidance

Research Based

Capex Audit

Eligibility Checked

Document Checklist

Pre-Filing Verification

Capital Subsidy

15%–20% Direct Sanction

365-Day Window

Post Commercial Bill

Overview & Policy Highlights

Understand how the AP Tourism Policy 2025 supports investors, property developers, and hospitality operators.

What this platform helps with

Estimating your likely capital subsidy or IPA benefit before you file.
Comparing Capital Subsidy route vs. IPA route side-by-side.
Checklists for statutory documents, conditions and category mapping.
Flagging common errors that lead to application rejection or delay.
Requesting a manual pre-filing expert CA review.

Who it is for

Hotel and resort owners planning to file under AP Tourism Policy.
Heritage property developers restoring proprietorship or leased sites.
Wildlife & nature resort developers near eco-tourism zones.
Chartered Accountants preparing eligible-capex certification.
Hospitality consultants & project management teams.

How benefit should be understood

Only eligible capex qualifies — land and excluded items are barred.
Land cost, soft costs, and general FF&E are excluded.
Capital route and IPA route cannot be combined simultaneously.
Mandatory 365-day application window post-commercial billing.

Why expert review is recommended

Category or clause mis-mapping cannot easily be amended post-filing.
CA certificate must explicitly carve out disallowed cost heads (2.01–2.12).
AP-resident employment quota (minimum 70%) is strictly verified with domicile proof.
A single filing discrepancy can delay disbursement by 12–18 months.

Advisory Disclaimer: This platform provides an indicative, educational estimate based on published AP Tourism Policy 2025 guidelines. It is not an official government portal. Final category confirmation, eligibility validation, and subsidy sanction rest solely with the Andhra Pradesh Tourism Department and its state-level empowered committee.

Policy Benefit Calculator

Enter your project specifications to generate an instant, itemized eligibility and subsidy estimation report.

Policy Route

Capital Subsidy

IPA Route

Compare Both

Capital Subsidy applies as a direct 15%–20% percentage on eligible investment (capped by category ceiling).

Project Category

Category Details: 15% Subsidy (Max ₹1.5 Cr ceiling), Min 25 AC Rooms required.

Eligible Investment (₹ Cr) ⓘ

Excl. land, FF&E & pre-ops

AC Lettable Rooms ⓘ

Air-conditioned guest keys

Total Staff Count

AP Resident Staff

80% AP Residents (Quota: Min 70%)

SC/ST 100% Owned?

Remote / Durgam Zone?

Application filed within 365 days of first commercial billing (Clause 6.18)

Commitment to operate asset for minimum 3 years post-subsidy

Your Report Will Appear Here

Fill in the project details on the left and click “Generate Policy Benefit Report” to view estimated capital subsidy and quota verification.

AP Tourism Policy 2025 — Key Clauses

A plain-language walkthrough of the official clauses impacting capital subsidy, eligible capex, and approvals.

Clause 4.1 — Capital Investment Subsidy

Direct capital subsidy sanctioned on eligible fixed capital investment (excluding land cost). Standard slabs range from 15% to 20%, subject to prescribed maximum financial ceilings per project category.

Clause 6.18 — Strict 365-Day Window

Applications must be registered within 365 days from the date of the first commercial invoice/bill issued by the hotel/resort. Filing after 365 days results in automatic statutory disqualification.

Clause 7.4 — AP Resident Employment Quota

A minimum of 70% of total non-managerial and permanent workforce must be bonafide residents of Andhra Pradesh, evidenced with valid domicile / Aadhaar documentation.

Clause 2.01–2.12 — Excluded Cost Heads

Land purchase price, stamp duty, working capital, consumable operating supplies, vehicle acquisitions, and non-permanent fixtures are strictly excluded from eligible capex computation.

Official Policy Tables

Reference slabs and category parameters under AP Tourism Policy 2025.

Table A — Category Matrix & Capital Subsidy Slabs

Project Category	Min Investment	Min Rooms	Base Subsidy %	Max Cap (₹ Cr)	Disbursement Tranches
New Standard Hotel	₹1.00 Cr	10 Rooms	15%	₹0.50 Cr	3 Slabs (40% / 30% / 30%)
Mini Resort	₹1.50 Cr	8 Keys	15%	₹0.75 Cr	3 Slabs (40% / 30% / 30%)
Deluxe / 3-Star+ Hotel	₹5.00 Cr	25 Rooms	15%	₹1.50 Cr	3 Slabs (40% / 30% / 30%)
Heritage Hotel	₹2.00 Cr	6 Rooms	20%	₹2.00 Cr	3 Slabs (40% / 30% / 30%)
Wildlife & Eco Resort	₹3.00 Cr	10 Cottages	20%	₹2.50 Cr	3 Slabs (40% / 30% / 30%)
Large / Mega Project (IPA Route)	₹10.00 Cr+	50+ Rooms	IPA Route	Custom Slabs	Milestone Linked

Eligibility Parameters

Key checkpoints that determine whether your hospitality asset qualifies for disbursement.

1. Clear Land Title & Non-Agri Conversion

Clear registered sale deed or 30+ years lease deed with official conversion to commercial / tourism hospitality use.

2. Approved Building Plans & Completion

Building sanction from local municipal authority/DTCP and Occupancy Certificate (OC) or Completion Certificate.

3. Statutory CA Certification of Capex

Audited balance sheet and Chartered Accountant certificate detailing eligible cost heads as per policy guidelines.

4. Fire NOC & Pollution Consent

Fire department NOC and Consent to Operate (CTO) from the State Pollution Control Board.

Statutory Documents Checklist

Keep certified copies ready across these core folders before submission.

A. Legal & Land Ownership

Registered Title Deed / Lease Agreement (>30 yrs).
NA (Non-Agricultural) Land Conversion Order.
Encumbrance Certificate (EC) for 30 years.

B. Technical & Operational

DTCP / Municipal Sanctioned Architectural Layout.
Occupancy Certificate (OC) / Building Completion.
First Commercial Guest Bill / Invoice copy.

Avoidable Rejection Errors & FAQs

The most common pitfalls observed during scrutiny and answers to frequent investor questions.

1. Missing the strict 365-Day filing timeline post-opening

Applications submitted after 365 days from the first commercial bill date are barred from capital subsidy sanction under Clause 6.18. Always prepare documentation during construction.

2. Including disallowed land or loose supply costs in CA certificate

Land purchase, stamp duty, operating inventories, and personal vehicles are excluded. Mixing them leads to query notices and downward audit revisions.

3. What is the difference between Capital Subsidy and IPA Route?

Capital subsidy provides direct upfront capital reimbursement (15–20%), while the IPA (Investment Promotion Assistance) route is designed for large-scale investments offering customized tax subventions and multi-year incentives.

Pre-Filing Expert CA Review

Eliminate rejection risks, verify eligible capex, and ensure error-free filing before departmental submission.

Category & Route Audit

Validates that your property is classified under the optimal clause for maximum financial advantage.

Capex Carve-Out Verification

Scrutinizes contractor invoices to ensure non-eligible expenditures are properly partitioned.

Statutory Compliance Check

Reviews AP resident employee ratios, fire NOC, pollution clearances, and date tracking.

CA Harsh Kabra & Advisory Team

Chartered Accountant · AIR 45 · Hospitality Sector Specialist

Hands-on experience reviewing and preparing AP Tourism Policy applications across capital subsidy and IPA routes, guiding hotel, resort, and heritage property owners across Andhra Pradesh.

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* Advisory service is designed for independent audit and verification prior to departmental submission. Final sanction rests with the State Tourism Empowered Committee.