The start-ups sector on pre-budget expectations

The startups sector on pre-budget expectations:

Prashant Narang, co-founder of Agility Ventures

Prashant Narang, co-founder of Agility Ventures, feels that the startup ecosystem in the country could benefit from tax reliefs and incentives. He elaborates, “The government should look at providing various tax reliefs for developing infrastructure in the startup ecosystem, especially in Tier-2 and Tier-3 cities. For instance, they can give tax incentives for setting up incubators/ innovation labs. There is also a need to introduce relaxations on capital gains tax for specific sectors like agritech, EV (electric vehicles), healthcare and renewable energy.”

Amit Singal, General Partner, Fluid Ventures

While talking about his expectations for the startup ecosystem in the upcoming union budget, Amit Singal, General Partner, Fluid Ventures stresses the role of Section 54 EE of the Income Tax Act. He says, “The government should consider an amendment in Section 54 to give exemption from capital gain on the transfer of any asset if assessee invests the consideration in recognized startups within one year. This will help to bring more angel investors into the startup ecosystem.”

Mo Akram, Ideator, MetaSpace

Mo Akram, Ideator, MetaSpace is optimistic about the upcoming union budget taking measures to regulate the crypto ecosystem in India. He says, “I am hopeful that the budget will open a direct line of conversation in recognising and regulating crypto to bring in greater stability of these digital assets, it would also lead to a better understanding of this sector.” He adds, “A regulatory framework will foster trust and help in on-boarding educated and informed investors, rather than encourage short-term, speculative investments.”