To provide impetus to new entrepreneurial ventures, business profits earned by eligible startups carrying on eligible business are entitled to claim tax holiday of any 3 block years out of first 10 years of the startup

Who can
avail Tax Holiday?


Eligible Business

Means a business carried out by an eligible start-up engaged in:

Eligible Start-up

Means a company or an LLP engaged in eligible business which fulfils the following conditions, namely:—

Additional Conditions


Deemed unused plant or machinery in the following cases:

Procedure to apply for tax holiday

Revocation of tax holiday

Key Takeaway


* not being a company in which the public are substantially interested as defined in section 2(18) of the Act.