Govt may water down angel tax provisions- The New Indian Express
After facing flak from angel investors and start-ups, the Central government is now planning to water down the ‘Angel Tax’ provisions in the upcoming Budget.
After facing flak from angel investors and start-ups, the Central government is now planning to water down the ‘Angel Tax’ provisions in the upcoming Budget. Further, the Department of Industrial Policy and Promotion (DIPP) is likely to redefine its criteria for recognising start-ups eligible for exemption from Angel Tax.
The move follows reports of start-ups being hauled by taxmen over ‘Angel Tax’. More than 60 start-ups, which were levied 30 per cent premium on investments made by external investors, have complained to the government so far. “The Angel Tax provision is hurting the start-up ecosystem. We have received several complaints as well as suggestions. We will come up with better and more conducive tax regime for the start-ups. CBDT (Central Board of Direct Taxation) had asked its taxmen to go slow on angel investors,” a senior Finance Ministry official told The New Indian Express.
As per the law, only start-ups recognised by DIPP with a valid certificate of recognition will qualify to be examined for Angel Tax exemption under the income-tax law. Others attract tax overvaluation under Section 56 (2) of Angel Tax. Officials claim that in the upcoming Budget, the government is considering abolishing of this Section.
“One of the things under consideration is the abolishing of Section 56 (2) of Angel Tax, under which several Start-ups were served notices. We will have another meeting next month and a joint decision will be taken in this regard,” the official added. Analysts opine that the current tax regime may kill the start-up culture, as only two start-ups had managed to get an exemption from Angel Tax since April this year.
Earlier this week, NITI Aayog CEO Amitabh Kant had openly spoken in favour of incentivising domestic funding in Indian start-ups and discouraging Angel Tax.
“This year alone, between January and September, seed stage capital declined by 20 per cent. We need to liberalise the Angel Tax provisions to unlock the domestic capital and trigger off a new wave of start-up value and job creation,” Kant had said. According to sources, a general consensus in the recently concluded meeting between the Finance Ministry and the DIPP was to tweak the very definition of start-ups itself, so that more of them would be exempted from Angel Tax.
What is Angel Tax?
If a start-up receives funding that is higher than its ‘fair market value’ from an angel investor (external investor), the investment amount will be considered as its income and 30 per cent tax will be levied. The issue is that there is currently no clear-cut way to assess the ‘fair market value’ of a start-up.
I see you don’t monetize your site, don’t waste your traffic, you can earn additional cash every month.
If you want to read about this method, simply search
in gooogle: dracko’s tricks
Hi. I have checked your intellexconsulting.com and i see you’ve got some duplicate content so probably it is the reason that you
don’t rank hi in google. But you can fix this issue fast.
There is a tool that generates content like human, just search in google: miftolo’s tools
You’ve made some decent points there. I checked on the net to learn more
about the issue and found most individuals will go along with your views on this website.
Attractive component of content. I just stumbled upon your website
and in accession capital to say that I acquire in fact
enjoyed account your weblog posts. Any way I will be subscribing
to your feeds or even I success you get admission to consistently fast.
This site truly has all the info I wanted about this subject
and didn’t know who to ask.
Fastidious respond in return of this matter with solid arguments and describing the whole thing concerning that.
For hottest news you have to go to see internet and on internet I found
this web site as a most excellent website for latest updates.
Thanks for finally writing about >Govt may water down angel tax provisions-
The New Indian Express | Intellex Consulting <Liked it!
If you wish for to get a great deal from this paragraph then you have to
apply such strategies to your won blog.
Definitely consider that which you stated. Your favourite reason seemed
to be on the internet the simplest factor to have in mind of.
I say to you, I definitely get annoyed even as other people think about worries that they
just don’t recognise about. You managed to hit the nail upon the top
as smartly as defined out the whole thing without having side effect , people could take a signal.
Will probably be back to get more. Thank you
Heya i’m for the first time here. I came across this board and I find It really useful & it
helped me out a lot. I’m hoping to present something again and help others like you aided me.
Wow, wonderful blog structure! How long have you been running a blog for?
you made running a blog glance easy. The entire look of your site is great,
as well as the content material!
Terrific work! That is the type of information that should be shared across the internet.
Shame on the seek engines for not positioning this put
up upper! Come on over and discuss with my website
. Thanks =)
Hello. I have checked your intellexconsulting.com and i
see you’ve got some duplicate content so probably it is the reason that you don’t rank hi in google.
But you can fix this issue fast. There is a tool that creates
content like human, just search in google: miftolo’s
tools
Hello. I have checked your intellexconsulting.com and i see you’ve got some duplicate content so probably it is the reason that you don’t rank hi in google.
But you can fix this issue fast. There is a tool that creates articles like
human, just search in google: miftolo’s tools
Hello. I have checked your intellexconsulting.com and i see
you’ve got some duplicate content so probably it is the reason that you don’t rank hi in google.
But you can fix this issue fast. There is a tool that rewrites content like human,
just search in google: miftolo’s tools