Section 80 IAC: Tax Incentives for Newly Start ups [Amended]

Eligible Assessee

1. Company or Limited Lability Partner engaged in a business carried our by an eligible start up engaged in Innovation, development or improvement of product or processes or services or a scalable business model with a high potential of employment generation or wealth creation.
2. Company/Limited Liability partnership should be incorporated during 01/04/2016 to 31/03/2022 and turn over should be up to 100cr in previous year for which deduction is claimed.
3. Assessee should hold certificate or eligible business from Inter ministerial board of certification(IMBC).

Eligible Amount of Deduction

100% of profit derived by start up for any 3 consecutive assessment years out of 10 years beginning from the year which start up is incorporated.

Additional Conditions

1. It should not be formed by split up or reconstruction of existing business.
2. Plant and machinery should be New.
   Exception
   >>>> Plant and machinery up to 80% of value can be accepted.
   >>>> Imported Plant and Machinery is treated as new asset.

Accounts Should be Audited

Accounts must be Audited by Charted Accountant within the due date of return filing as per the income tax provisions.