Punjab Sick Unit SGST Reimbursement
By Department of Industries & Commerce, Government of Punjab
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Quick Answer
Sick large units under a sanctioned rehabilitation package get 75% (border districts) or 50% (other districts) of net VAT/SGST reimbursed for 5 years.
About this subsidy
Punjab's Industrial and Business Development Policy 2022 supports the revival of sick large units with a reimbursement of net VAT/net SGST for 5 years from the date of sanction of the rehabilitation package: 75% for units in border districts and 50% for units in other districts. Because the clock runs from the sanction of the rehabilitation package rather than from any production milestone, getting the package sanctioned is the gating step — the reimbursement window starts there and runs whether or not turnover has recovered.
Eligibility
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Full eligibility criteria — entity type, stage, sector, founder profile and registration requirements — plus your fit for this program. Sign up to view.
Subsidy providers
The Department of Industries & Commerce is the Government of Punjab's department that runs the Punjab Start-up Cell. The Cell is headed by the Director of Industries and Commerce and acts as a single point of contact for the state's startup policy. The department is based at…
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What You Get
Reimbursement of 75% of net VAT/net SGST for 5 years from the date of sanction of the rehabilitation package for units in border districts, and 50% of net VAT/net SGST for 5 years from that date for units in other districts.
- Disbursement
- Reimbursement
- Bootstrap friendly
- Yes
Timelines & Process
Applications
Rolling basis
Application Process
- 1
Rehabilitation package
Secure sanction of a rehabilitation package for the sick unit.
You - 2
- 3
- 4
How to apply
Four steps from draft to disbursement — one action each.
- 1
See the questions before you start
Download every question this programme's application form asks, so you can prepare your answers offline before opening the portal.
- 2
Line up your documents
Keep every document from the checklist ready in one folder. Missing docs are the #1 reason applications get bounced.
- 3
Submit on the official portal
Use the official application link and verify all details before final submission.
- 4
Follow up
Reach out 5–7 days after submitting to confirm receipt and ask about the review timeline.
Frequently Asked Questions
Who is eligible?
Sick large units in Punjab with a sanctioned rehabilitation package.
How much is reimbursed?
75% of net VAT/net SGST in border districts and 50% in other districts.
How long does it run?
5 years from the date of sanction of the rehabilitation package.
When does the period start?
From the date the rehabilitation package is sanctioned, not from resumption of production.
Sources
Data on this page is compiled from official program and provider references.









