The Indian Patent Office charges individuals, startups, small entities and educational institutions roughly one-fifth of what it charges everyone else, at every stage from filing to the last renewal. Over the life of a patent the difference runs to several lakh rupees. Form 28 is how an applicant claims it.
Quick reference
| Who qualifies | Startups, small entities, educational institutions — and natural persons, who need no form |
| The saving | Roughly 80% off every official fee |
| Evidence | Startup recognition certificate; small-enterprise registration; proof of the institution’s standing |
| When | With each document that carries a fee |
| Status changes | Future fees at the new rate; no back-payment |
| Transfer to a standard-rate owner | Difference in fees becomes payable |
Who qualifies
Natural persons pay the reduced rate automatically; an individual applicant needs no declaration.
Startups. An entity recognised as a startup by the government’s Startup India scheme, run by the Department for Promotion of Industry and Internal Trade. Foreign entities qualify too, if they meet the same criteria of age and turnover as an Indian startup would.
Small entities. An enterprise whose investment in plant and machinery or equipment, and turnover, fall within the limits set for a medium enterprise under the MSME law — so “small entity” for patent purposes is broader than “small enterprise” in the MSME sense, and covers micro, small and medium enterprises. Foreign enterprises qualify on the equivalent test.
Educational institutions, added in 2021. For an Indian applicant, a university established by a Central, State or provincial Act, or an institution recognised by a designated government authority. Foreign institutions qualify on equivalent standing.
The evidence
The declaration on Form 28 is filed with proof of the status claimed:
- Startup — the recognition certificate issued under the Startup India scheme
- Small entity — the registration certificate under the MSME registration system, which records the investment and turnover figures the status turns on
- Educational institution — any document establishing the institution’s standing under the relevant Act or recognition
A foreign applicant files whatever document in its home jurisdiction establishes the equivalent status, and the Office may ask for more.
When to file it
The form accompanies every document for which a fee is payable at the reduced rate — the application, the request for examination, renewals, and so on. In practice it is filed with the first fee-bearing document and referenced thereafter, but the obligation is to establish the status each time a reduced fee is paid, and the Office can ask to see it.
An applicant who paid the standard rate on filing and later qualifies for the reduced one can claim it for subsequent fees. There is no refund of the difference already paid.
When status changes
Startups age out of recognition; small entities grow past the thresholds; institutions merge. When that happens, future fees are paid at the standard rate. There is no back-payment for fees already paid at the reduced rate while the status was genuinely held.
The other direction matters more. Where an application or patent is transferred to a person who does not qualify for the reduced rate — a startup’s patent acquired by a large company, most commonly — the difference between the reduced fees already paid and the standard fees becomes payable by the new owner. It is a routine item in the due diligence on acquiring a patent from a smaller entity, and one that is easy to miss.
Joint applicants
Where an application has more than one applicant, the reduced rate is available only if every applicant qualifies. A startup filing jointly with a large company pays the standard rate.
Getting it wrong
A reduced fee claimed without the status is a deficiency in the fee, and the Office treats the document as not properly filed until the balance is paid. For a document with a deadline — a request for examination, a reply — that can mean the deadline was missed. A false declaration is, separately, a false statement to the Office. Claim the rate only where the evidence supports it.
Frequently asked questions
Who can claim reduced patent fees in India? Natural persons, startups recognised under the Startup India scheme, small entities within the investment and turnover limits set for a medium enterprise under the MSME law, and educational institutions. Foreign applicants qualify on equivalent tests.
How much do startups save on patent fees in India? About eighty per cent on every official fee. Filing is ₹1,600 rather than ₹8,000, examination ₹4,000 rather than ₹20,000, and renewals over a full term ₹76,800 rather than ₹3,84,000.
What evidence is needed for Form 28? The startup recognition certificate, the MSME registration certificate, or a document establishing an educational institution’s standing, depending on the status claimed. Foreign applicants file the equivalent document from their home jurisdiction.
What happens if my startup loses its recognition after filing? Future fees are paid at the standard rate. Fees already paid at the reduced rate while the status was held are not recovered.
What happens if a small entity sells its patent to a large company? The difference between the reduced fees paid and the standard fees becomes payable by the new owner. It is a standard item to check when acquiring a patent from a smaller entity.
Can joint applicants claim the reduced rate? Only if every applicant qualifies. If any one of them would pay the standard rate, the application pays the standard rate.
Useful official resources
- IP India — forms and fees — Form 28 and the First Schedule
- Startup India — recognition — the recognition certificate
- Udyam Registration — MSME registration
See our related notes on the full fee schedule and requesting examination, where the reduced rate applies.
Unsure whether you qualify, or acquiring a patent from a startup and want to know what fees come with it? Talk to us.