Latest News | Abolition of Angel Tax Significant Milestone; Will Boost Startup Ecosystem: IT Minister

New Delhi, Jul 23 (PTI) The Union Budget announcement of the abolition of the angel tax is a significant milestone that will boost the startup ecosystem in India, IT Minister Ashwini Vaishnaw said on Tuesday.

It is a "very good decision" and has been the biggest demand of deep tech startups, Vaishnaw said, adding that the move will spur investment in startups.

Also Read | Union Budget 2024-25 Key Takeaways: From Income Tax Changes and Capital Gains to Special Packages for Bihar and Andhra Pradesh; Highlights of Nirmala Sitharaman's Budget Speech.

"Angel tax has been a long-standing issue...deep tech startups had a major issue on how do you do valuation... that point has been addressed with its abolition," he said at a post-budget conference.

The minister said India has taken big strides in domestic manufacturing of mobiles, laptops and servers, and the focus now is to encourage component manufacturing.

Also Read | Income Tax Day 2024 Date, History and Significance: All You Need To Know About Aaykar Diwas, the Day That Commemorates the Introduction of Income Tax in India.

The process of framing rules under the Data Protection Act (DPDP Act) is in the "advanced stage", he said, adding that "we will place rules for public and stakeholder consultation soon".

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)