Section 80-IAC Income Tax Holiday for Startups

Last checked 11 Oct 2026 against the official scheme page. Terms and dates can change, so confirm on the official site before you apply.

100% deduction on business profits for 3 consecutive financial years

Funding available

Eligible DPIIT-recognised startups can get a full deduction of profits for 3 consecutive years of their choice within the first 10 years, after Inter-Ministerial Board approval.

Eligibility Criteria

Private limited company or LLP recognised by DPIIT, incorporated on or after 1 April 2016 and before 1 April 2030, working on innovation or a scalable high-employment business. Apply to the Inter-Ministerial Board.

What You Get

Zero income tax on profits for 3 of first 10 years

Similar Schemes

FoF 2.0

Startup India Fund of Funds 2.0

Corpus Rs 10,000 crore, routed through AIFs

CGSS

Credit Guarantee Scheme for Startups

Guarantee cover up to Rs 20 crore per borrower (85% of default for loans up to Rs 10 crore, 75% above)

DPIIT Recognition

DPIIT Startup Recognition

No fee; non-cash gateway benefit

Apply on the official government portal

Apply Now

Quick Facts

Governing Body: Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry
Ministry / Dept: DPIIT
Level: Central Government
Status: Ongoing

DPIIT Recognition Required

This scheme requires your startup to be DPIIT-recognised under the Startup India programme.

How to get DPIIT recognition →