Department of Electronics, IT and BT / KITS

Reimbursement of State GST

GRANTKARNATAKASTATE SCHEME

What it is for

Reduces the effective tax burden on commercially operating Karnataka startups by reimbursing a share of their state GST liability.

Who can apply

All KITS-registered startups operating in Karnataka, within the startup validity window (10 years/turnover under INR 200 crore, or 20 years/INR 300 crore for Deep Tech); must not have claimed this benefit under any other GoK/GoI policy.

What you get

50% reimbursement of Net State GST paid, capped at 100% of Fixed Capital Investment, available for 7 years from the date of commencement of commercial production.

How to apply

Apply online at the fiscal incentive application portal with GST registration certificate, CA-certified GST paid statement, tax returns, bank statements, notarized affidavit, and FCI proof.

Best suited for

Commercially operating Karnataka startups within their first 7 years of production wanting to reduce their effective GST outflow.

Official links

Fiscal incentive application portal https://registration.eitbt.karnataka.gov.in/ktechregistration/dist/#/auth/login

Karnataka state scheme, summarised from the Karnataka Startup Policy 2025-2030 and its operational manual, last reviewed 2026-09-08. Amounts and eligibility are indicative — always confirm against the live scheme guideline before acting.