With both the teams failing to break the deadlock in the regulation and extra time, tie-breaker was introduced and Salgaocar scored all the five penalty through Gilbert Oliveira, Rocus Lamare, substitutes Nicolau Colaco, Zakeer Mundampara and Drryl Duffy.
Salgaocar's keeper Karanjit Singh, who pulled off a couple of good saves in the regulation time, than made a diving save off Sunil Chhetri in the shootout to put his team in the final.
Bengaluru FC started well as they had the lion's share of exchanges in both the sessions, created more scoring chances but Karanjit proved to be the stumbling block as he denied Evgeneson Lyngdoh, substitute K Udanta Singh and Robing Singh thrice.
Wood work too came in Bengaluru's way when Robin Singh's effort from inside the box hit the post and went out.
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Salgaocar, who played a subdued game, came into their own in the latter part of the first half had their chances but their strikers were found wanting.
Salgaocar coach Derrick Pereira said, "No doubt we survived some anxious moments, it was our keeper Karanjit Singh along with defenders who denied the visitors the win.