On 11 April 2018, a notification from India's Department of Industrial Policy and Promotion was published in the Official Gazette concerning an exemption from tax on investments in start-ups. The notification provides that for investments in share capital made by qualifying (angel) investors in qualifying startups, an exemption applies from the tax that is normally due on the amount of investment exceeding the fair market value of the shares. For the purpose of the exemption, an entity may qualify as a startup if established between 1 April 2016 and 1 April 2021 and:
With respect to the investment, the following conditions must be met:
Click the following link for the notification (second half includes English version, including application form).
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