Deduction U/s 80IAC

Startup was initiated by the Central Government with an aim to facilitate various industrial projects . In the last two budgets various initiatives were taken by central govt.
A cluster of various incentives were offered by govt. of India. Sec 80IAC WAS INITIATED BY SEVERAL SECTIONS.
IF YOU REALLY WANT TO KNOW THE DETAILS AND IS ON THE VERGE OF ARRIVING AT A CONCLUSION.PLS REVERT BACK AT sabyasachimukherjee7098 @ gmail.com

Procedure for registration
The interested entities are required to create a login id on Startup India portal using the following details:

Application for exemption under section 80IAC can be made by logging in the Startup India Portal through this login credentials.

Details required to make the application for exemption under section 80IAC are:

1. Memorandum of association (for Pvt Ltd) or LLP Deed (for LLP)

2. Board Resolution (if any)

3. Annual Accounts & Income Tax returns of the startup for the last three financial years. (The Balance Sheet and the Profit and Loss Statement must be CA Certified)


If your startup was incorporated on 1st April 2018 or later, Income Tax Returns (ITR) is not mandatory. For startups incorporated earlier, ITR is mandatory.

5. Startup Video Link. The video should cover the following aspects:

The video should ideally be of 2-3 minutes and be no longer than 5 minutes
showcase the working of the product(s)prototype/proof-of-concept developed by startup
If startup is a product or software-based startup then showcasing a demonstration/prototype/walk-through of the product(s)/software product(s) developed by startup is compulsory.
If startup provide software or technology services such as website development, application development, developing white-label software products for clients, then please showcase a demonstration/prototype/walk-through of the product(s) developed for key clients
Also showcase the market traction that your product/service has generated through either online customer reviews, client testimonials (video/text are acceptable), or any other similar appreciation/feedback received
Note: Upload the video on a third-party video hosting platform such as Youtube or Vimeo. In case you are uploading the video on Google Drive please make sure that it is NOT access restricted.

6. Pitch deck – the pitch deck shall include the following details:

Information about the product/service offering of your startup
Brief about how is your startup innovative and/or scalable (Uniqueness/USP of the startup that differentiates from its competitors in the market)
Director details and their educational qualification, professional experience, and formal role in the startup/current designation (if any)
Shareholding pattern as on the date of filling this application
Directors and Shareholders’ citizenship details
Team details – current role, education, and professional experience
Details about adherence to the specific government approvals required by the startups such as FSSAI registration, guidelines set by Bureau of Indian Standards
Revenue model i.e. details of how the startup generates revenue
Funding received from private investors or Angel/VC funds (Yes/No); if yes, please add names and details of the investors
IF any support (monetary/non-monetary) is received from Central or State Government Ministries/Departments/PSUs/Incubators
Details of any public or private sector awards won by the startup
Number of people directly employed with your startup
Number of customers/clients – Paying customers/users with a copy of at least one Contract/Work-Order/MoU or the number PlayStore/AppleStore downloads in case of mobile applications along with a screenshot of the app listing on these platforms
Link to your startup’s website
Screenshots/images of your product/website
Note: Pitchdeck uploaded must be in a PDF format

Link to fill Form 80IAC: https://www.startupindia.gov.in/content/sih/en/form80iac.H T M L

DPIIT recognition alone does not automatically give you Section 80-IAC income tax exemption. There is a two-step process.

Step 1: Get DPIIT recognition on the Startup India portal. This unlocks benefits like angel tax exemption, TDS benefits, and the ability to apply for 80-IAC. It does not by itself give you the tax holiday.

Step 2: Apply to the Inter-Ministerial Board (IMB) for Section 80-IAC certification. The CBDT-designated IMB evaluates whether your startup meets the innovation and social value criteria. Only after IMB approval can you claim the deduction.

Once approved:
- You get 100% deduction of profits for any 3 consecutive years out of 10 years from date of incorporation
- The 3 years do not have to be consecutive ,  you can choose which years to claim based on when you are profitable
- The startup must be incorporated between April 1, 2016 and April 1, 2030
- Annual turnover in any year must not exceed Rs 100 crore

One thing many founders miss: if you forget to claim 80-IAC in the ITR for a year, you cannot go back and amend it easily. The election for each year has to be made in the original or revised return for that year.

For the full application process and what IMB looks for, this [Startup India DPIIT recognition and 80-IAC tax exemption guide](https://taxgarden.in/blog/startup-india-dpiit-recognition-registration-benefits-tax-exemption-2026) covers the end-to-end process.