Angel tax abolished ! Long term capital gain tax reduced
It gives me immense delight to share that the Government has just presented the Union Budget, and in doing so, made some heartwarming announcements related to startups.
Angel tax (i.e., tax on startups raising capital at a premium) has been finally abolished.
Tax on long-term capital gains arising from the sale of shares of startups has been effectively reduced by 8-9% and brought down to 12.5%. It has been brought at par with listed shares, and this long-awaited parity has finally been achieved.
We commend the government for these startup-friendly measures and its unwavering support in propelling the Indian startup ecosystem forward. Such progressive policies are a testament to the government’s commitment to fostering innovation, encouraging investment, and nurturing the entrepreneurial spirit that drives our nation.
