DPIIT recognition under the Startup India initiative gives eligible startups access to tax exemptions, easier compliance, and government funding and procurement benefits.

This guide explains eligibility, the benefits, and how to apply for recognition.

What is Startup India (DPIIT) Recognition?

A startup can get DPIIT recognition if it is incorporated as a private limited company, LLP or registered partnership, is within 10 years of incorporation, has turnover under ₹100 crore, and is working on innovation or scalability.

Recognition is applied for on the Startup India portal and, once granted, can be followed by an application for the Section 80-IAC tax holiday and angel-tax exemption.

Eligibility

  • Incorporated as Pvt Ltd, LLP or registered partnership
  • Within 10 years of incorporation
  • Annual turnover under ₹100 crore
  • Working towards innovation, improvement or scalability
  • Not formed by splitting up an existing business

Benefits

  • Three-year income tax holiday under Section 80-IAC (on approval)
  • Angel tax exemption under Section 56
  • Self-certification under labour and environmental laws
  • Easier public procurement and access to the Startup India Seed Fund

Step-by-step process

  1. Incorporate the entity. Register as a Pvt Ltd, LLP or partnership.
  2. Register on Startup India. Create a profile on the Startup India portal.
  3. Apply for recognition. Submit the recognition application with details of your innovation and documents.
  4. Receive the certificate. Get the DPIIT recognition certificate; then apply for tax benefits separately.

Frequently asked questions

Does DPIIT recognition give an automatic tax holiday?

No. Recognition is the first step; the Section 80-IAC tax holiday requires a separate application and approval by the inter-ministerial board.

Is there a fee for DPIIT recognition?

There is no government fee for DPIIT recognition itself.