Less Than 5% Of Andhra Pradesh Start-ups Avail Income-Tax Exemptions

ENA State 2024-01-18 15:46:14 New Delhi, Jan 18 (KNN) Industry sources revealed that less than 5 per cent of the 1,869 start-ups acknowledged by the Department for Promotion of Industry and Internal Trade (DPIIT) in Andhra Pradesh have availed Income-Tax exemptions provided by the Union Government under the Start-up India scheme. As of December 31, 2023, the total number of recognised start-ups enjoying tax benefits nationwide reached 2,975, with less than 50 hailing from Andhra Pradesh, as reported by TH. Under the Start-up India scheme, only DPIIT-acknowledged start-ups are eligible to apply for tax exemptions under sections 80-IAC and Section 56 of the Income Tax (Angel Tax) Act. Once granted clearance, start-ups can benefit from a tax holiday for three consecutive financial years within the initial 10 years from incorporation. Eligibility for Angel Tax exemption mandates that the entity be a recognised start-up, either a private limited or a limited liability partnership, must be incorporated after April 1, 2016. On the other hand, the criteria for start-up recognition require a turnover of not less than Rs 100 crores in any previous financial year, with a focus on innovation and the potential for employment and wealth creation. (KNN Bureau) 36334 https://knnindia.co.in/news/newsdetails/state/less-than-5-of-andhra-pradesh-start-ups-avail-income-tax-exemptions 2024-01-18 15:46:14 knnindia.co.in Less Than 5% Of Andhra Pradesh Start-ups Avail Income-Tax Exemptions