Whatfix | Union Budget 2023 Quote

“This year’s budget builds upon the 2022 Union budget agenda of startup growth initiatives such as extension in claiming tax benefits and skilling. With India leapfrogging the global Startup Ecosystem, the government has been taking favorable steps to fuel this growth which is reflected in the 2023 budget as well.

The National Data Governance Policy, aimed at enabling anonymized data access by start-ups and academia, will help realize a holistic security solution towards data protection, be it on-premise, in the cloud, or hybrid environments - a must for every sector. An extension of the date of incorporation by one year for income tax benefits to start-ups from 31st March 2023 to 31st March 2024 will be appreciated by all entrepreneurs again this year, especially in today's macroeconomics. This move will help start-ups claim tax benefits for three consecutive years within the first ten years of incorporation. They now also have the benefit of carrying forward their losses on change of shareholding from seven years of incorporation to ten years - a great addition to this year's budget.

The IT industry contributed 7.4% of India’s GDP in FY22, and has been facing skills shortage and a limited workforce in recent times, which has been highlighted through multiple surveys. Today’s development ensures that the government’s focus is on enabling the youth by upskilling them on new-age technologies and digital skills such as AI, Robotics, etc. Leading industry players will partner in conducting interdisciplinary research, developing cutting-edge applications, and scalable problem solutions in agriculture, health, and sustainable cities. It will help provide a platform for budding entrepreneurs and enthusiasts to test their theories and solutions and apply them in the current scenario. I feel these steps would propel the nation towards a digital transformation path, further strengthening India’s position in the technology industry.”