diff --git a/erpnext/projects/doctype/project/project.py b/erpnext/projects/doctype/project/project.py
index 97134602f8..f6bb6e9e74 100644
--- a/erpnext/projects/doctype/project/project.py
+++ b/erpnext/projects/doctype/project/project.py
@@ -13,6 +13,7 @@ from frappe.desk.reportview import get_match_cond
 from erpnext.hr.doctype.daily_work_summary.daily_work_summary import get_users_email
 from erpnext.hr.doctype.holiday_list.holiday_list import is_holiday
 from frappe.model.document import Document
+from erpnext.education.doctype.student_attendance.student_attendance import get_holiday_list
 
 class Project(Document):
 	def get_feed(self):
@@ -69,8 +70,8 @@ class Project(Document):
 				subject = task_details.subject,
 				project = self.name,
 				status = 'Open',
-				exp_start_date = add_days(self.expected_start_date, task_details.start),
-				exp_end_date = add_days(self.expected_start_date, task_details.start + task_details.duration),
+				exp_start_date = self.calculate_start_date(task_details),
+				exp_end_date = self.calculate_end_date(task_details),
 				description = task_details.description,
 				task_weight = task_details.task_weight,
 				type = task_details.type,
@@ -78,6 +79,21 @@ class Project(Document):
 				is_group = task_details.is_group
 			)).insert()
 
+	def calculate_start_date(self, task_details):
+		self.start_date = add_days(self.expected_start_date, task_details.start)
+		self.start_date = self.update_if_holiday(self.start_date)
+		return self.start_date
+
+	def calculate_end_date(self, task_details):
+		self.end_date = add_days(self.start_date, task_details.duration)
+		return self.update_if_holiday(self.end_date)
+
+	def update_if_holiday(self, date):
+		holiday_list = self.holiday_list or get_holiday_list()
+		while is_holiday(holiday_list, date):
+			date = add_days(date, 1)
+		return date
+
 	def dependency_mapping(self, template_tasks, project_tasks):
 		for template_task in template_tasks:
 			project_task = list(filter(lambda x: x.subject == template_task.subject, project_tasks))[0]
diff --git a/erpnext/projects/doctype/project/test_project.py b/erpnext/projects/doctype/project/test_project.py
index d77b14ce33..0faf97670d 100644
--- a/erpnext/projects/doctype/project/test_project.py
+++ b/erpnext/projects/doctype/project/test_project.py
@@ -14,9 +14,6 @@ from frappe.utils import getdate, nowdate, add_days
 
 class TestProject(unittest.TestCase):
 	def test_project_with_template_having_no_parent_and_depend_tasks(self):
-		""" 
-		Test Action: Basic Test of a Project created from template. The template has a single task.
-		"""
 		project_name = "Test Project with Template - No Parent and Dependend Tasks"
 		frappe.db.sql(""" delete from tabTask where project = %s """, project_name)
 		frappe.delete_doc('Project', project_name)