Banglashree for Micro, Small and Medium Enterprises: Subsidy for State Goods and Services Tax (SGST)

The Subsidy for State Goods and Services Tax (SGST) operates as a sub-scheme within the Banglashree for Micro, Small and Medium Enterprises initiative, which is administered by the Department of Micro, Small and Medium Enterprises and Textiles, Government of West Bengal. The scheme has been in effect from April 1, 2020, and will continue until March 31, 2025. Its purpose is to strengthen the MSME sector in the state by offering fiscal incentives to entrepreneurs, with the aim of promoting the establishment and expansion of Micro, Small and Medium Enterprises.

The broader Banglashree for MSME programme is designed to support balanced regional development, optimise the use of resources, create new employment opportunities, and widen the reach of MSMEs across West Bengal. Through the SGST component, eligible enterprises with approved projects can receive a refund of the net State Goods and Services Tax paid to the state government. This measure eases the tax burden on businesses and acts as an incentive for investment and growth, contributing to a more resilient MSME ecosystem in the state.

1. Go to the Shilpasathi Portal at https://silpasathi.wb.gov.in/ and select ‘Apply Online’. If you are a new user, choose ‘Create New’ to register. Pick the Applicant Type (Industry/Business/Commercial/Charitable Society/Govt. entity), enter the Registration Number, complete all required fields on the ‘User Registration’ page, and click ‘Register’.
2. Once registered, sign in with your username and password or through OTP. From the dashboard, open ‘ALL SERVICES’ and choose ‘MSME Incentive’.
3. Select ‘Create CAF’ to obtain your CAF ID, then click ‘Apply Online’. Complete the eligibility form and press ‘Save and Continue’ to reach the Common Application Form (CAF). Fill in every mandatory section of the CAF and click ‘Update and Continue’ to review the form.
4. After the CAF is submitted, you will return to the dashboard. Click ‘Click to Proceed’ and then ‘Go to Application’ to complete ‘Online Form - A’.
5. Under ‘APPLY SUBSIDY’, tick the year-wise subsidy items. In the ‘FILL UP SUBSIDY’ tab, enter the year-wise subsidy details for the incentive. Use ‘Add More’ to include multiple years or year-wise splits, then save the information.
6. Upload all necessary documents. Review the full application, click ‘VERIFY & SUBMIT’, tick the declaration box, and press ‘Submit Application’.
7. After submission, an application reference number will be issued. Use this number to monitor the application’s progress on the dashboard.

The initial application must be filed within 12 months from the Date of Commencement of Commercial Production (DOCCP) or within 12 months from the date of notification of Banglashree, whichever falls later.

Applications are evaluated against the eligibility conditions set out in the scheme guidelines. The details furnished in the online application and its attachments are examined to confirm the enterprise’s classification as a Micro, Small, or Medium Enterprise, its industry sector, the date commercial production began, and adherence to all other specified criteria. The portal automates the eligibility verification and subsidy submission workflow, culminating in project approval for the SGST refund.