Budget 2024: On Thursday, the government announced plans to prolong the tax breaks for investments made by sovereign wealth or pension funds as well as startups by a year. An extension of the tax advantage until March 2025 has been proposed.
The International Financial Services Center (IFSC) units’ tax exemption on some income and certain tax benefits for investments made by startups, sovereign wealth funds, and pension funds would expire on March 31, 2024, according to Finance Minister Nirmala Sitharaman.
“To maintain continuity in taxation, I propose to extend the tax exemption until March 31, 2025,” she added, introducing the Interim Budget 2024–2025.
To encourage entrepreneurs in the nation, the government has implemented several initiatives. 1.17 lakh startups have received official recognition to date. Under an action plan for Startup India, these firms can benefit from tax incentives like income tax breaks.