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In order to boost entrepreneurship and innovation, the Indian Government introduced Section 80-IAC Tax Exemption provision of the Startup India Scheme. Such a provision confers significant relief from income tax on the startup companies at the stage of qualifying startups' formation — a time typically marked with high operating costs and muted incomes.

Under Section 80-IAC of the Income Tax Act, 1961, 100% exemption from tax is permissible for any 3 consecutive years from out of the first 10 years from the incorporation date. By this, the promoters receive the incentive to plough back investment returns into product, advertisement, recruitment of staff, and infrastructure development to induce quicker growth.

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✔️ Get expert help on Startup India tax benefits.

Startup India Section 80-IAC Tax Exemption: Eligibility, Benefits & Application Process

Learn how Indian startups can save on taxes with Section 80-IAC under the Startup India initiative. Discover eligibility criteria, benefits, and the step-by-step application process to claim this tax exemption. Read more! 

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