The Indian government seems to be really committed to its cause of promoting budding entrepreneurs and supporting struggling startups in the country. According to Minister of State for Commerce & Industry C R Chaudhary, the Indian government has already provided tax benefits to 67 startups so far.
It was last year that the Modi government had announced and sanctioned the much awaited Rs 10,000 crore ‘Fund of Funds for Startups’. The fund is one of the steps taken by the Central government towards boosting self-employment in the country — a move that is part of a larger initiative, Prime Minister Narendra Modi’s pet project ‘Startup India Action Plan’, which he unveiled himself in the month of January last year.
Addressing the startup India states conference, Chaudhary said, “3,576 startups have been recognised as on September 7 and tax benefits have been given to 67 innovative startups.”
According to Department of Industrial Policy and Promotion (DIPP), they selected the 67 startups out of the 671 startups that they were considering for income tax exemption.
Chaudhary also assured that he will ensure that the chosen startups get full support and facilitation from both the centre and state governments. He said, “We are here to support you. Whenever you need any assistance or help, we are there for that.”
The minister also took the occasion to encourage budding entrepreneurs in the country to work in areas that have been ignored for long like agriculture, health, animal husbandry and biotechnology.
Speaking at the same conference, DIPP Secretary Ramesh Abhishek also shared the progress various states are making towards realising the Startup India initiative. He revealed that 15 Indian states have already
formulated their startup policies through which they’re facilitating the young businesses in their own states. He said, “States are important partners in this exercise” as startups in the country need support in areas like funding, infrastructure and marketing.
Abhishek also revealed at the conference that a total of Rs 1,587 crore funds has been allocated to startups so far. This is separate from the intellectual property related benefits that the government has provided to 639 startups.
In addition to the existing fund, the DIPP is also considering setting up a Rs 2,000 crore credit guarantee fund that would provide funding facilities to startups.
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