New definition to give start-ups, investors a bigger angel tax breather

DPIIT Secretary Ramesh Abhishek and officials from the CBDT met start-ups and investors to discuss ways to exempt small start-ups and investors from the angel tax

The government may further exempt start-ups and investors from paying angel tax by tweaking the definition of a start-up soon. 

With pressure from industry mounting, a working committee will be created in four to five days, officials said.

On Monday, Department for Promotion of Industry and Internal Trade (DPIIT) Secretary Ramesh Abhishek and officials from the Central Board of Direct Taxes (CBDT) met start-ups and investors to discuss ways to exempt small start-ups and investors from the angel tax. Last month, the government had eased norms for firms seeking an exemption.

A possible change in the definition of a start-up and