As the government readies an action plan for startups, an investors’ body today sought tax incentives on investments and easier norms for opening and closure of a company to give a boost to such ventures.
Investors’ association TiE Silicon Valley President Venktesh Shukla said a large number of startups are failing and “we should allow them to close their units in an easy way. It is extremely critical because lot of their energy is wasted in unproductive work”.
Norms should also be eased for Indian startups to raise money, he said while interacting with media on the ‘Startup India’ event to be held tomorrow, when Prime MinisterNarendra Modi will unveil an action plan to encourage budding entrepreneurs.
The other members of the association asked for tax incentives in all investments coming from the US.
Kanwal Rekhi, managing director of Inventus Capital said that India does not impose tax on investments in capital market but levies investments in startups.
“Investment made from Mauritius is not taxed but those made from the US come under tax ambit. We don’t want to invest through indirect route, we want to make investment directly from Silicon Valley to India,” Rekhi said.
The members of the association emphasised on simple regulatory regime for new age ventures in India and global investors. Read Articles