Self-Certification: For Compliance under 9 environmental & labour laws
Tax Exemption: Income Tax exemption for a period of 3 consecutive years and exemptions on capital gains & investments above Fair Market Value.
Easy winding up of company: Within 90 days under insolvency & Bankruptcy code 2016.
Startup Patent Application and IPR protection: Fast track & up to 80% rebate in filling patents.
Easier Public Procurement Norms: Exemption on EMD and minimum requirements. Get listed as a seller
SIDBI Fund of Funds: Funds for investment into startups through Alternate Investment Funds.
Exemption of Income Tax for Startups (80-IAC)
After obtaining the recognition as a ‘Start-up’ under the Start-up India Scheme, a Private Limited Company or a Limited Liability Partnership incorporated on or after 1st day of April 2016 but before 1st day of April 2021 can apply for exemption of income tax for 3 consecutive years under Section 80-IAC of the Income Tax Act.
After review of application and documents and information, information and if deem fit, the Department will issue a Tax Exemption Certificate to the Start-up. Only after obtaining the Certificate, the Start-up can avail the exemption of Income tax.
To ensure that the new business is given the best start, it is imperative to consult an advisor with specialised experience in dealing with startups. They can understand your business plan and advice you on the choice of a legal entity, licenses, funding, taxation and compliance.
TAXAJ specialises in providing startup advisory support. We have helped start over 50,000 businesses across India in every industry possible. Our advisors are available 24/7, 365 days and can help answer various questions you may have concerning the legal formalities, business licenses, funding, income tax, GST and labour law compliance.