NEW DELHI: The Start Up India initiative which is Prime Minister Narendra Modi’s dream scheme to replace India from a job seeker nation to a job creator one. First announced from the ramparts of the Red Fort on August 15 last year had attracted a big crowd of start-up entrepreneurs, venture capitalists and angel investors to see what plan the government has in store for them.
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As the day-long event started unfolding in front of the big jamboree studded with ‘Who’s Who’ of corporate digital world at Vigyan Bhawan on Saturday, Prime Minister Narendra Modi unveiled a slew of incentives to boost start-up businesses. Here are some of the takeaways from the Start Up India action plan:
No income tax on profits of start-ups for 3 years.
Setting up of dedicated Rs 10,000 crore corpus to fund start-ups over four years.
Government will set up a fund with an initial corpus of Rs 2,500 crore.
No criteria of experience and turnover for bagging government procurement contracts.
Exemption of capital gains tax on personal property sold by entrepreneurs to invest in their start-ups.
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Easy exit option provided under the Bankruptcy Act so that start-ups can exit within 90 days.
Rebate of 80% on filing of patient application.
Patient regime and IPR will be simplified.
Start-up hub will be created to enable knowledge exchange and access to funding.
Mobile oriented application form for start-ups.
Tax exemption will be given on investments above the fair market value.
Credit guarantee scheme for loans.
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Atal Innovation Mission with self-employment and talent-utilisation programme. Seed funding to potentially successful and high-growth start-ups.
New policies will be introduced to help women entrepreneurs.
Setting up 14 start-up centres and sector specific incubators all over the country.
Five new bio clusters to be set up to help the Biotech sector.
Working on a legal support for fast-tracking patent examination at lower costs.
Seven new research parks will be set up.