Budget 2019: Start-ups, investors seek tax sops, easier compliance regime

While 'recognised' start-ups don't have to pay corporate tax for 5-7 years, they still have to pay MAT on book-profits at 18.5%, which is seen as a major cash out-go in early stage enterprises

Budget 2019: With the Narendra Modi-led NDA government going into its second term, albeit with a stronger majority, the start-up community expects it follow through on entrepreneurial policies introduced over the last five years and remove a dozen or so bottlenecks to position the country as a start-up powerhouse.

The interim budget presented on February 1 this year, which is only meant to support activities for two-three months in an election year, was understandably missing on big-bang announcements for start-ups. All eyes are on the Union Budget that will be presented by finance minister Nirmala Sitharaman on Friday.

According to half a dozen experts Business Standard spoke to, the industry is looking ahead for more tax sops for start-ups, a simpler and toned-down compliance regime and a uniform policy framework that courts foreign business and investors in India as well as...read more