Fri. Mar 29th, 2024
Startup India

Taking its policy of employment generation a step further, government will soon ask startups to declare the number of jobs they plan to create. This procedure will also be needed in order to apply for the benefits under startup India scheme.

Speaking to ET, one of the senior government officials stated that the government is taking its initiative of creating jobs seriously and it plans to involve startups as well. Till now, the criteria for qualifying as a startup was innovation, however, soon they will asked to furnish details about the employment they plan to create. Registration under Startup India helps in tax rebate along with faster process of procedures like patent filing.

Officially announced in January 2016, Startup India has failed to get the desired momentum and response. Out of all the applications submitted to the government, only 10 startups have been given the benefit of tax relaxation.

Department of Industrial Policy and Promotion (DIPP) has approved at least 798 applications, however, only 10 of them have been given the benefit of tax rebate. The tax rebate allows the companies registered after March 31st, 2016 to claim back the tax for 3 of the first 7 years.

According to a recent report by Nasscom, startups employ around 80,000 people in India currently. The number is expected to go up to 250,000 by 2020.

By Prithviraj Singh Chauhan

Part time journalist, full-time observer. Editor-in-Chief at The Indian Wire. I cover updates related to business and startups.