PS-TN
What this is
The scheme "Payroll Subsidy" by the Govt of Tamil Nadu, is introduced with the objective of assisting MSMEs in reducing their employee cost. The scheme provides reimbursement of employee's contributions to the EPF for their employees, subject to a maximum of ₹ 24,000/- per employee per annum.
In detail
The scheme "Payroll Subsidy" by the Micro Small and Medium Enterprises Department, Government of Tamil Nadu, is introduced with the objective of assisting MSMEs in reducing their employee cost. The scheme provides reimbursement of employee's contributions to the EPF for their employees for the first three years from the date of commencement of commercial production, subject to a maximum of ₹ 24,000/- per employee per annum.
Who qualifies
- All micro enterprises anywhere in the state of Tamil Nadu.
- Small and medium enterprises set up in 254 industrially backward blocks and all industrial estates promoted by the Government and the Government agencies like SIPCOT, TANSIDCO etc.- Agro-based small and medium enterprises set up in all 388 blocks of the state.
- The unit should have employed more than 20 persons. Only regular workers will be taken into account. Casual, temporary or contract workers will not be taken into account.
- If the employee strength falls below 20 for any of the months, the claim will be restricted to the months in which the conditions are satisfied.
Check Your Eligibility for this scheme here
What you get
Reimbursement of employee's contribution to the EPF for their employees for the first three years from the date of commencement of commercial production, subject to a maximum of ₹ 24,000/- per employee per annum.
Who is excluded
> Following list of Manufacturing Enterprises/activities are not eligible -
- Sugar.
- Distilleries, brewery and malt extraction.
- Units utilizing Molasses/ rectified spirit/ de-natured spirit as raw material for manufacture of potable alcohol.
- Fertiliser (except bio-fertilisers).
- Mining and quarrying.
- Iron and steel smelting.
- Beedis/ cigarettes/ cigars/ gutka and tobacco-based products.
- All types of Saw Mills.
- Cement.
- Aluminium smelting.
- Calcium carbide.
- Slaughter house.
- Re-packing of drugs/ medicine/ chemical, without any processing or value addition.
- Azoic/ reactive dyes.
- Fire cracker.
- Industries manufacturing and or utilizing Ozone depleting substances.
- Poultry.
- Cyanide.
- Caustic soda.
- Potassium chloride.
- Nylon fibre.
- Rayon fibre.
- Polyester fibre.
- One-time use and throw away plastics.
- All service MSMEs.
- Any other enterprise/ activity as may be notified by the Government.
not about the scheme.
Provenance
| schemeName | Payroll Subsidy | myScheme · 2026-09-02 |
| schemeOpenDate | ... | not published at source |
| schemeCloseDate | ... | not published at source |
| nodalMinistryName | ... | myScheme · 2026-09-02 |
| dbtScheme | False | myScheme · 2026-09-02 |
| achievement data | ... | no source publishes this for any central scheme |