In a strategic move to enhance India’s startup ecosystem, Finance Minister Nirmala Sitharaman announced the abolition of the angel tax on July 23, 2024.
Summary: In a bid to enhance the startup ecosystem and promote innovation in India, Finance Minister Nirmala Sitharaman announced the removal of the angel tax. The angel tax, introduced in 2012 under Section 56(2)(viib) of the Income Tax Act, imposed a tax on premiums paid by investors above the fair market value of shares in…