Commerce and Industry Minister, Nirmala Sitaraman says startups may get additional tax benefits in the upcoming budget. Sitharaman’s ministry has recommended some sops to the Finance Ministry which include raising the tax holiday for startups to 7 years from the existing 3 years.
“It makes tangible difference to a startup, and in that some work has happened, more to be happening. Let’s see what this budget is going to offer. Sitaraman was speaking at the first anniversary of StartUp India, an effort to which SheThePeople.TV is an official partner.
She says the government is committed to removing legislative hurdles faced by entrepreneurs. The Ministry and has asked DIPP secretary, Ramesh Abhishek to organise a meeting with the RBI, SIDBI, banks and venture capital funds to discuss funding related issues for status.
Abhishek said that there needs to be more done in terms of taxation and infrastructure for startups and that state governments should also extend their full support to entrepreneurs. At the Digital Women Awards, Abhishek had highlighted the need to do more for women entrepreneurs. He says the department is making extra effort to ensure they have attention of the DIPP for regulatory requirements and support.
She says commerce ministry has been compiling many suggestions from the startup ecosystem through the year, and has given these suggestions to the Finance Minister.
Sitharaman believes that startups can help solve some of India’s urban development problems.
“I want startups to think how they can make India’s existing cities smart. Every city has its problem of poor careless and laid back planning. Startups being local can plan a solution for better cities,” she said.
She also said that the industry needs to “tell us that which legislation is archaic, and needs to be withdrawn.”
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