In a significant move to bolster India's startup ecosystem, Finance Minister Nirmala Sitharaman announced a five-year extension of tax incentives for startups in Budget 2025. Startups incorporated before April 1, 2030, will now be eligible for tax benefits under Section 80-IAC of the Income T...
In a significant move to bolster India's startup ecosystem, Finance Minister Nirmala Sitharaman announced a five-year extension of tax incentives for startups in Budget 2025. Startups incorporated before April 1, 2030, will now be eligible for tax benefits under Section 80-IAC of the Income Tax Act. This extension allows eligible startups to claim 100% tax deductions on profits for three consecutive years out of ten years from incorporation. The move is expected to provide financial relief, foster innovation, and attract more investments to the burgeoning startup sector.
Source: Union Budget 2025 speech by Finance Minister Nirmala Sitharaman