Chartered Accountants in India, working with clients across the UK

DPIIT Tax Exemption
Startups · Tax benefits

DPIIT tax benefits,all in one place.

DPIIT recognition opens several tax benefits, not just one: a three-year tax holiday, losses kept despite new investors, deferred tax on ESOPs for employees, and, for earlier years, protection from angel tax. Each has its own conditions. We map which apply to your startup.

Every benefit checkedFees agreed in writingClaimed correctly
GatewayDPIIT recognition
Holiday3 years tax-free
ESOPsEmployee tax deferred
LossesKept after funding

The benefits.

BenefitWhat it doesExtra condition
Tax holidayProfits tax-free for 3 of the first 10 yearsBoard certificate. See Section 80-IAC Tax Exemption
Loss carry-forwardLosses kept even when shareholding changesOriginal shareholders continue
ESOP tax deferralEmployees pay tax on exit, sale or after 5 yearsStartup eligible for the tax holiday
Angel tax (earlier years)Share premium exemptAbolished from April 2024. See Angel Tax Exemption

ESOP deferral.

Normally employees pay tax when they exercise options, before they can sell. For eligible startups, the employer withholds that tax only on the earliest of five years, leaving the company or selling the shares, which makes ESOPs far more attractive to Indian staff of UK-backed startups.

Why UK companies choose us in India.

We speak UK and India

We work with your UK finance team, lawyers and auditors, and translate Indian requirements into plain English.

Reviewed before filing

Every filing and certificate is checked by a second Chartered Accountant before it goes in.

Fees agreed in writing

A written scope, timetable and fee before work starts.

A compliance calendar

One calendar of every MCA, RBI, GST and income-tax deadline for your Indian entity.

One team end to end

Set-up, accounts, payroll, tax, audit and RBI filings handled together.

Secure and fully online

Encrypted document sharing and digital signatures. Directors never need to travel.

Startup tax benefits for UK founders and investors.

We work with UK companies headquartered in every part of the UK, from start-ups in London and Manchester to established groups in the Midlands, Scotland and Wales. All the work is coordinated online with your UK team.

London

City of LondonCanary WharfHarrowWembleySouthallHounslowIlfordEast HamCroydonEdgware

South East

ReadingSloughMilton KeynesOxfordWatfordLutonCrawleyGuildford

Midlands

BirminghamLeicesterCoventryNottinghamWolverhamptonDerbyNorthampton

North of England

ManchesterLeedsBradfordSheffieldLiverpoolNewcastlePreston

East and South West

CambridgePeterboroughBristolSwindonSouthamptonBath

Scotland, Wales, NI

EdinburghGlasgowAberdeenDundeeCardiffSwanseaBelfast

DPIIT tax exemption FAQs.

Not by itself. It opens benefits, each with conditions.
Yes, for eligible startups, if original shareholders continue.
Tax is withheld on exit, sale or after five years, whichever is first.
Only for share issues before April 2024.

Recognised startup?

Tell us your stage. We will map and claim the benefits.

This page is general guidance based on the Companies Act, 2013, FEMA, RBI directions and Indian tax law as they stand. It is not legal or financial advice for your situation. Rules, limits and deadlines can change, so please speak to us before acting on it.