Prime Minister Narendra Modi on Saturday announced a three-year income tax holiday for startups and exemption of capital gains tax for venture capital investments in them, as part of a host of incentives to promote new enterprises in the country. Also Read - BYJU's Early Learn app takes kindergarten classes online using Disney characters and computer-vision frameworkAlso Read - Aarogya Setu app may soon come pre-installed in new smartphones in India
He also announced self-certification and three-year exemption from inspections, an online portal and mobile app, an 80-percent cut in the patent application fee, a single-point hub for hand-holding, equal opportunities in government procurement and a Rs.10,000-crore dedicated fund for start-ups. Also Read - Samsung pledges Rs 20 crore for Corona fight in India, PM Modi calls it 'Good gesture'
Patent fee for start-ups will be reduced by 80 percent. India’s future lies in innovation and creativity. Newcomers should get equal opportunities, Modi said while addressing at the ‘Start-up India, Standup India’ event.
He also said start-ups will be helped through facilitation centres by lawyers to file patents without any charges. Delays in patent approvals, he added, need to be reduced. Talking about intellectual property rights (IPR) Modi said that India was lagging behind in IPR. We have enough youth property (YP), but we don’t have enough intellectual property (IP), he said.
Here are the highlights of PM Modi s action plan for startups
Following are major policy highlights of Start-ups Action Plan Prime Minister Narendra Modi unveiled on Saturday in New Delhi while launching the ambitious ‘Start-Up India’ campaign to boost digital entrepreneurship at the grass-root level:
* Income Tax exemption for first three years
* Tax exemption on capital gains
* No inspection of start-ups for three years on labour and environment law compliance post-self certification.
* No interference from government
* Compliance regime based on self-certification
* Single point of contact for Start-up India hub
* Corpus of Rs.10,000 crore through Fund of Funds
* 80 percent rebate in patent costs
* Norms to be relaxed for public procurements
* Faster patent registration and protection for IPRs
* Faster exit through a new bankruptcy law
* Mobile app will be launched to register start-up in a day
* Atal Innovation Mission to give impetus to innovation and encourage talent