For encouraging entrepreneurs the government is planning to launch a web portal with the process of registration of startups by next week. Besides the Startup India initiative launched last year, the DIPP has issued the definition of startups and is making it easier for them to file patent applications.
The Union Budget for 2016-17, proposed full tax exemption for startups for three years. Besides, a special patent regime has been proposed with a 10% rate of tax on income from worldwide exploitation of patents developed and registered in India in order to promote innovations. The Startup India action plan has proposed a “Fund of Funds” to raise Rs 2,500 crore annually for four years for financing startups.