The startups in the state will benefit from the Union governments proposal to extend the period of incorporation of eligible startups by one more year till March 31, 2023, for providing tax incentives, saidKerala Startup Missionformer CEOSaji Gopinath.
He added that it normally takes three to four years for a new startup to start making profits.
Finance minister in herBudgetspeech said that the country has seen a manifold increase in successful startups over the past few years.
Startups will be getting one more year of tax benefit. It will make a huge difference for those into hardware units, which take around six to seven years to start making profits. Especially for those startups whose profit will come a little later, this is a huge benefit, Gopinath said.