Author : Taxmann
Publisher : Taxmann Publications Private Limited
Page : 35 pages
File Size : 54,9 Mb
Release : 2023-05-17
Category : Law
ISBN : 9789356227453
Taxmann's Taxation of Start-ups & Investors – Focused analysis starting from recognising start-ups to their taxation with DPIIT Guidelines, IMB Decisions, Case Laws, etc. [Finance Act 2023] by Taxmann Pdf
This is a handy book for the taxation of start-ups & investors, including, but not limited to, the following: • Tax Holiday u/s 80-IAC of the Income-tax Act 1961 • Angel Tax Exemption All topics related to the taxation of start-ups & investors are discussed in light of the following: • Department for Promotion of Industry and Internal Trade (DPIIT) Guidelines • Inter-ministerial Board (IMB) Decisions made in IMB Meetings • Relevant Legal Provisions • Case Laws, including the landmark decision of Raw Pressery (P.) Ltd. vs ACIT [2022] 143 taxmann.com 158 (Mumbai-Trib.) The Present Publication is the 6th Edition and has been amended by the Finance Act 2023. This book is authored by Taxmann's Editorial Board with the following noteworthy features: • [Start-up Ready Reckoner] o Eligibility Ready Reckoner for tax holiday u/s 80-IAC o Compliance Ready Reckoner for turnover-limit linked compliances/exemptions for the following entities: § Private Companies § Limited Liability Partnership § Traditional/General Partnership Firm o Tax Benefits available for DPIIT-recognised start-up private limited companies based on their turnover • [Tabular Format of Tax Holiday for Start-ups approved by IMB] in the following cases: o Grounds of Innovation o Grounds of Scalability o Grounds of Employment Generation or Wealth Creation o Grounds of Improvement in Products • [Detailed Analysis of Finance Act 2023 Amendments] including new provisions regarding taxation & TDS on winnings from online games • [Detailed Analysis with a Specific Focus] on the following topics: o Revised Guidelines for recognition of start-up o Process of IMB Certification for a tax holiday o Options of low tax rate regime u/s 115BAA/115BAB without tax holiday o Relative tax efficacy of various start-up entity forms, such as: § Registered Partnership Form § Limited Liability Partnerships § Private Limited Companies o One Person Company as a start-up entity form • [Case Studies] of acceptance/rejection by IMB of a start-up's application for a tax holiday • [FAQs] are given at the start of the book • [Detailed Analysis of Difference between MSMEs and Start-ups] and benefits available under the MSMED Act, 2006 The detailed contents of the book are as follows: • What is a start-up? • Distinction between start-ups and MSMEs • What is the criteria for recognition of start-ups by DPIIT • Start-ups eligible for DPIIT – Recognition • OPC as a start-up entity • Innovation/scalable business model • Start-up entities not eligible for DPIIT recognition • Sole proprietorships – Whether eligible for DPIIT recognition • Entities formed as a result of amalgamations/mergers/demergers/absorption, whether eligible for DPIIT recognition • Entities formed as a result of compromise/arrangement – Whether eligible for DPIIT recognition • Holding & subsidiary companies – Whether eligible for DPIIT recognition • Joint Ventures – Whether eligible for DPIIT recognition • Entities incorporated outside India – Whether eligible for DPIIT recognition • Entities with foreign shareholding/stake – Whether eligible for DPIIT recognition • Entities formed by splitting up/reconstruction of an existing business – Whether eligible for DPIIT recognition • Entities incorporated with common director/DP/partner – Whether eligible for DPIIT recognition • Procedure for DPIIT – Recognition of start-up • Name change by DPIIT – Recognised start-up entity – Whether permitted • CIN/LLPIN change by DPIIT – Recognised start-up entity – Whether permitted • Conversion by a DPIIT – Recognised entity from one form to another – Whether permissible • Automatically ceasing to be a 'start-up' under LSN • Approvals needed by start-up entities for claiming tax benefits • Tax efficacy of different start-up entity forms – Firms, LLPs & Pvt. Companies • Tax holiday to start-ups under Section 80-IAC • Funding blues of private limited start-up companies • Exemption from 'angel tax' to private limited companies start-ups • Computation of FMV of shares issued when angel tax exemptions is not applicable • Conditions for carry forward or set-off of losses of start-up PLC under section 79 • Deferring TDS or tax payment in respect of ESOP income of employees of eligible start-ups • Tax & TDS on winnings from online games • Mandatory acceptance of payments through prescribed electronic modes if turnover exceeds INR 50 crores – section 269SU • Taxation of investors exiting start-ups
