Budget 2019: Startups under Rs 5 cr annual turnover hails leniency in tax regime

Budget 2019: Startups with annual turnover of less than Rs 5 crore have hailed Finance Minister Piyush Goyal for leniency in tax regime in the budget 2019. They said that it would enable startups like them to make job seekers into job creator and find resonance with a lot of start-ups that are waiting to launch and poised for scaling in the years to come. 

Tanul Mishra, CEO, Afthonia told Zee Business online in a written statement, "Leniency in the tax regime for companies with a turnover below Rs 5 crores is certainly a welcome move that will find resonance with a lot of start-ups that are waiting to launch and poised for scaling in the years to come." 

See Zee Business video below:

रिलायंस कम्युनिकेशंस ADAG शेयरों में 50% तक की गिरावट आई, जानिए क्या है कारण सुमित मेहरोत्रा से।@AnilSinghviZEE @SumitResearch pic.twitter.com/gNabRZXTLq

— Zee Business (@ZeeBusiness) February 4, 2019

Tanul went on to add that while Start up India has made great strides in empowering the youth of the country to come forward and be more open to taking risks and experimenting to solve for the current challenges, what is also required is a trusted and safe space for them to able to do so. As more job seekers become the job creators ecosystems that encourage innovation and create a pro-learning environment are the need of the hour.

Ravi Vishvanathan, CFO, PayMate India Pvt. Ltd told, "Rebate of 100 per cent on Tax for Taxable Income up to Rs.5 lacs is a positive step in rewarding compliance." he said the move will help lakhs of new start-ups to sustain and create jobs — a problem that the Modi government has been facing at an alarming level.

Calling the budget as 'Aam Aadmi friendly' Deena Jacob, Co-founder & CFO - Open told, "The bold step of the much needed and long due tax benefit is being passed on to the deserving layer in this budget. This will have a good ripple effect overall in the spends as it impacts the disposable income positively. It gives a shot in the arm for the slumping real estate sector as well, with additional residential investment being eligible for capital gains exemption and the notional rent on second home being taken off from taxation. Thoughts around simplifying GST and tax system management also benefits the middle layer of the individuals and businesses indicating overall that it is a budget intended to aid the vast middle layer."