GST Reduction, Tax Benefits To Angel Investors; What Startups Expect From Budget 2020

The startups this time will, by and large, be expecting lowered personal taxes so that the disposable income is increased, and a reduction in the Goods and Services Tax (GST), among others.

(Representative Image/ Getty)

New Delhi: Union Budget 2020 can be seen as an opportunity for the government for course correction at a time when the economy has hit a rough patch. Among the many sectors which will be expecting a boost from the government, the startups of the country will also be looking forward to what the government has in store for it. The ruling Modi government is credited for recognizing the potential and possibilities of the start-up sector and for the subsequent inception of the ‘Startup India’ initiative. The sector this time will, by and large, be expecting lowered personal taxes so that the disposable income is increased and a reduction in the Goods and Services Tax (GST). “As all of us know that our India is a rapidly growing market with more and more startups coming up. The government should consider the reduction in GST for startups as it affects the overall budget of the startups,” said Mr. Vishu Goel, Founder of Infinity Spaces, flexible office space provider. Tax benefits should be given to angel investors so that more and more investments come to startups, he suggested. “As a flexible office space provider, we have seen a steep rise in the demand for customizable flexible office spaces as more and more millennial are coming up with their startups and even the working millennial are no more interested to sit and work in square office cubicle,” Goel said. “Also, the government should come up with assistance and support programs for startups which would guide them for their entrepreneurial journey,” he added. In less than two days, the different sectors will know the allocation of funds to them, as Finance Minister Nirmala Sitharaman will make her budget speech in the Parliament.