India is a young nation and 70% of current Startup Founders are below 32 years of age. To boost the startup ecosystem in India, Prime Minister Narendra Modi unveiled the action plan for Start-up India, offering them a tax holiday and inspector raj-free regime for three years, capital gains tax exemption and Rs 10,000 crore corpus to fund.
These are highlights of the incentives announced by the prime minister of India
# Self certification-based compliance for labour and environment laws
# No government inspection for three years
# No income tax on profits for three years
# No capital gains if money invested in another start-up
# Easy exit option, provided under the Bankruptcy Act so that start-ups can exit within 90 days.
# Single point Start-up India hub for clearances
# Mobile app and portal for start-ups, with a small form to be filled
# New IPR protection for start-ups, 80% reduction in patent fee
# Encourage start-ups in government purchases, with relief in experience and turnover criteria
# A fund of funds with a corpus of Rs. 10,000 crore