Easier Norms on GeM Portal
Government e-Marketplace [GeM] is an e-commerce portal for public procurement where private sellers including startups can sell products and services to government buyers and participate in government e-tenders.
Get registered as a seller on government e-Marketplace aka GeM portal.
A registered startup can enjoy privileges over others, private sellers. The separate scheme launched for a startup is named GeM Startup Runway Scheme.
On Gem Startup Runway scheme, Startups are entitled to avail exemption on:
- Prior Turnover
- Prior Experience
- Earnest Money Deposit
- Minimum criteria for govt. tender
Tax exemption u/s 80 IAC
Post getting recognition under the startup India scheme, you may apply for Tax exemption u/s 80 IAC of the Income Tax Act.
A Startup can avail of a tax holiday for 3 successive financial years during its first 10 years of startup eligibility.
Criteria for applying to 80IAC Tax exemption:
- Must be a recognized Startup
- Only Private limited or LLP is eligible
- Must be incorporated on or after 1st April 2016
Angel Tax Exemption u/s 56
After startup India registration, you may apply for Angel Tax Exemption.
Criteria for Angel Tax Exemption u/s 56 of the Income Tax Act 1961:
- The entity must be a DPIIT recognized Startup
- The aggregate amount of paid-up share capital & share premium after the proposed issue of shares, must not exceed INR 25 Crore.
Self-Compliance for Labour Laws
Startups can do self-assessment for labour law compliances and there will be no inspection or physical visit by public officers during the first 3 years. Startups can self-certify through the startup India portal with the given below 6 labour laws.
- Inter-State Migrant Workmen laws
- Gratuity Laws
- Provident Fund Laws
- Employees’ State Insurance laws
- Other Constructions Workers’ laws
- Contract Labour laws
Our professionals can assist In order to self-certify labour laws compliances.
Trademark, Patent, IPR related exemption
On obtaining a startup India certificate, the startups can avail various assistance in applying for intellectual property rights e.g. Trademark registration, patent and copyright registration.
Recognised startups can avail following reliefs in IPR:
- Fast-track startup patent applications with an 80% government fees rebate.
- A panel of facilitators to assist in IP applications
- Rebate on the filing of Trademark application
Easy Winding Up of Company
Startups registered under the startup India scheme can avail easy exit route for winding up the company within 90 days under Insolvency & Bankruptcy Code, 2016, in case the startup business model failed.
