The Central Board of Direct Taxes (CBDT) has proclaimed the creation of a five-member special cell to help startups with their grievances related to angel tax and other tax-related issues. CBDT has also announced that the ‘startup cell’ will be headed by a member of Income Tax and Computerisation wing of CBDT.
Press Trust of India has stated that the cell will work towards grievance redressals and combat tax-related issues in case of startup entities with respect to the Income Tax Act, 1961. The cell ensures speedy resolution of grievances for startups. The initiative is meant to further ease the compliance issues pertaining to startups.
CBDT’s order also specified an email address, email@example.com, and the postal address of the cell for startups to contact with their queries. Landline telephone numbers of the members from various levels, such as joint secretary, commissioner of IT, and director, are also provided in the order for convenience.
According to the order, startups can visit the cell at Office of Under Secretary, ITA-I, Room No 245A, Noth Block, New Delhi-110001. Phone: 011-23095479; Fax no: 23093070.
When Nirmala Sitharaman announced the exemption of startups from angel tax, she had also mentioned the proposal of setting up such a cell. She had added that Section 56 (2) (viib) of the Income Tax Act will not be applicable to startups registered with DPIIT anymore. This move was taken to mitigate the genuine difficulties of startups and their investors, she said.