Corporate Law : Learn the official guidelines for using the Startup India logo, who needs approval, and the application process to ensure legal co...
Income Tax : Section 80-IAC is amended to extend 100% profit deduction for eligible start-ups incorporated until April 1, 2030, effective from ...
Income Tax : The Finance Bill 2025 extends the tax deduction under Section 80-IAC for eligible startups until 2030, providing a 100% deduction ...
Corporate Law : Explore common reasons behind startup failures, including poor planning, funding issues, market misfit, and regulatory challenges....
CA, CS, CMA : A guide to DPIIT registration for startups, including eligibility, application process, document requirements, and benefits like t...
Corporate Law : As of June 2024, India recognizes 1.4 lakh startups, with 67,499 having at least one woman director, supported by various governme...
Corporate Law : The Indian Government has recognized over 1.4 lakh startups as of June 2024, promoting innovation and investment through various i...
Corporate Law : Read about the ONDC Startup Mahotsav organized by DPIIT, a platform where startups harness the Open Network for Digital Commerce (...
Income Tax : CBDT proposes changes to Rule 11UA in respect of ANGEL TAX- Also proposes to notify Excluded Entities In the Finance Act, 2023, ...
Corporate Law : The National Startup Awards 2023 aim to recognize and reward outstanding startups that have demonstrated exceptional capabilities ...
Income Tax : ITAT Mumbai held that a start-up company incurring cost for branding of the company and other relevant expenditure which creates p...
Income Tax : In the case of HCL Technologies BPO Services Ltd vs. ACIT, ITAT has held that for transfer pricing only amount retained by associa...
Income Tax : Notification regarding Income-tax Act Section 56(2)(viib) and assessment of Startup Companies. Clarifications for assessing recogn...
Corporate Law : Credit Guarantee Scheme for Startups (CGSS)is to provide guarantee upto a specified limit against credit instruments extended by M...
Corporate Law : Govt has notified that for an application for fast track corporate insolvency resolution process may be made also by a Startup (ot...
Company Law : (1) These rules may be called the Companies (Compromises, Arrangements and Amalgamations) Amendment Rules, 2021. (2) They shall co...
Corporate Law : Central Government has approved the ‘Startup India Seed Fund Scheme (SISFS)’ to provide financial assistance to startups for p...
Central Government, hereby notifies that the provisions of clause (viib) of sub-section (2) of section 56 of the said Act shall not apply to consideration received by a company for issue of shares that exceeds the face value of such shares, if the consideration has been received for issue of shares from an investor in accordance with the approval granted by the Inter-Ministerial Board of Certification
Traditionally, ESOPs were given to remunerate senior employees and to acknowledge their proven contribution to the company. However, in modern times, ESOPs are used as a consideration as Startups can’t afford to spend high salaries in the beginning. Employee Stock Options in India has gained immense popularity in the recent times with the emergence of a vibrant startup ecosystem in the country.
In a lay man language, a startup company (startup or start-up) is an entrepreneurial venture which is typically a newly emerged business that aims to meet a marketplace need by developing a viable business model around an product, service, process or a platform. A startup is usually a company designed to effectively develop and validate a scalable business model.
Startups are of great significance for any economy as they are collectively one of the major emerging source of revenue and employment. Many governments from across the world have been going out of their way to facilitate the entrepreneurial dream. Even India took initiative to support startup dreams by means of its flagship Make in India programme and a plethora of other schemes like Startup India has been launched, but the Angel tax
pproval for the purposes of clause (viib) of sub-section (2) of section 56 of the Act -A Startup being a private limited company and in conformity with the definition as per definition stipulated at Para 1(a) shall be eligible to apply for approval for the purposes of clause (viib) of sub-section (2) of section 56 of the Act, if the following conditions are fulfilled: —
Though well intentioned, the startup booster provisions of Section 80-IAC lacks commercial viability and therefore amendments made to S. 80-IAC won’t be able to yield desired results in terms of employment generation and wealth creation
It has been decided that in case of ‘Start Up’ companies which fall within the definition given in Notification of DIPP, Min. of Commerce & Industry, in G.S.R. 501(E) dated 23.05.2017, if additions have been made by the Assessing Officer under section 56(2)(viib) of the Act after modifying/rejecting the valuation so furnished under Rule 11UA(2), no coercive measure to recover the outstanding demand would be taken.
The eyes were all set in this budget also by Startup community what the Finance Minister will bring for them. However, there was not much to celebrate. Still, they didn’t go unnoticed. I have listed down budget proposals benefiting Startups.
Section 80-IAC of the Act, inter alia, provides that deduction under this section shall be available to an eligible start-up for three consecutive assessment years out of seven years at the option of the assessee
The Finance Act, 2017 amended section 79 to provide that where a change in shareholding has taken place in a previous year in the case of a company, not being a company in which the public are substantially interested and being an eligible start-up as referred to in section 80-IAC of the Act
