80-IAC Tax Exemption
Section 80-IAC Income Tax Holiday for Startups
100% deduction on profits for any 3 consecutive years out of the first 10 for eligible startups.
100% tax exemptionFunding support3-year tax holidayIncentivestartupindia.gov.inOfficial portal
Who can apply
- DPIIT-recognised private limited company or LLP
- Incorporated on or after 1 April 2016 (and before 1 April 2030)
- Turnover under ₹100 Cr in the year claimed
- Not formed by splitting an existing business
Key benefits
- Zero income tax on profits for 3 years
- Choice of which 3 years to claim
Documents needed
- DPIIT certificate
- MoA/AoA
- Financials
- Form 1 to IMB
How to apply
- Get DPIIT recognition
- Apply for IMB certificate
- Claim in ITR
Am I eligible for 80-IAC Tax Exemption?
1What are you looking for?
2What's your business type?
3How much funding do you need?
4How old is the business?
5Owner category
Frequently asked
Does a proprietorship qualify?
No — only companies and LLPs.
Related schemes
PopularPMEGPCredit-linked subsidy for setting up new micro-enterprises in manufacturing and services.Up to ₹50 Lakh projectView →For StartupsStartup India Seed FundSeed funding for DPIIT-recognised startups for proof of concept, prototype, trials and market entry.Up to ₹50 LakhView →Venture DebtCredit Guarantee for StartupsGovernment guarantee on loans and venture debt to DPIIT-recognised startups from banks, NBFCs and AIFs.Up to ₹20 CroreView →
Information summarised from official guidelines; limits change — always verified against startupindia.gov.in before filing.