Updates from Budget 2019: No Scrutiny for checking the Valuation (Share Premium) for ‘Angel Tax’ in Start-Ups and their Investors

The Start-ups who file requisite declarations and provide information in their returns will not be subjected to any kind of scrutiny by Income Tax Departments related with valuations of share premiums.

Finance Minister said that the issue of establishing identity of the investor and source of his funds will be resolved by putting in place a mechanism of e-verification. With this, funds raised by startups will not require any kind of scrutiny from the Income Tax Department.

Leave a Comment