Startup India Registration

Steps to Apply for DPIIT Registration on NSWS:

1. Visit the NSWS Portal:

   • Go to the official NSWS website: https://www.nsws.gov.in.

2. Create an Account / Login:

   • If you don’t have an existing account, create one by registering on the portal.
   • If you already have an account, simply log in using your credentials.

3. Obtain and Link Required Digital Signature Certificates (DSC):

   • DSC of Authorized Signatory: This is required to digitally sign and authenticate the application. The authorized signatory (director, partner, or authorized person) must possess a Class 3 DSC from a licensed Certifying Authority.
   • Organization DSC : This is linked to the business entity (such as a private limited company, LLP, etc.).

4. Navigate to the DPIIT Registration Section:

   • Once logged in, search for the DPIIT Registration option in the services section.
   • You may find it under Startup India Registration

5. Fill in the Application Form:

   • Business Name: Enter the name of your startup as per your registration documents.
   • PAN Details: Ensure that your PAN (Permanent Account Number) is registered in the system.
   • GST Details (if applicable): Provide the GSTIN for your business.
   • Details of the Business Activity: Specify what your startup does (sector, type, etc.).
   • Contact Information: Add the business address and contact details.
   • Date of Incorporation: Provide the date your business was officially incorporated.

6. Upload Required Documents:

   • Certificate of Incorporation or Partnership Deed (for partnerships or LLPs).
   • Identity Proof: PAN, Aadhar, or Passport of the founder(s).
   • Company Bank Details (optional for verification purposes).
   • Startup Proof (if applicable, such as proof of innovation, patent, etc.).

7. Self-certification of Compliance:

   • You may need to sign a self-certification that you comply with the eligibility criteria for DPIIT registration, such as:
     • The startup should be registered as a private limited company, LLP, or partnership.
     • It should be less than 10 years old.
     • The annual turnover must be less than ₹100 crores.

8. Use DSC to Digitally Sign the Application:

   • During the application process, use the DSC of the Authorized Signatory to digitally sign the application form.
   • Ensure that the correct DSC is linked to the NSWS portal, and use it to authenticate the application and submit it.

9. Review and Submit:

   • Review all the information you have entered and ensure all fields are filled correctly.
   • After reviewing, click the Submit button to complete your application.

10. Payment of Fees (if applicable):

    • Some applications may require a nominal processing fee. Ensure you complete the payment process as per the guidelines on the portal.

11. Wait for Approval:

    • Once submitted, the DPIIT team will process your application. This may take few days.
    • You will receive an email confirmation once your application is approved or if additional information is required.

12. Download DPIIT Certificate:

    • After successful approval, you can download your DPIIT registration certificate from the NSWS portal.
    • This certificate will be essential for availing benefits such as tax exemptions, funding, and government schemes.

To qualify for Startup India registration:

• Must be incorporated as a Private Limited Company, Limited Liability Partnership (LLP), or Partnership Firm.
• The business must aim to innovate, develop, or improve products, services, or processes.
• Should not be older than 10 years.
• Annual turnover should not exceed ₹100 crore.
• Must not have been formed by splitting or reconstructing an existing business​

The Startup India initiative provides extensive incubation and funding benefits to foster the growth of innovative businesses. These benefits are aimed at helping startups access the resources, mentorship, and financial support needed to scale their operations. Below are the key details:

Incubation Benefits

1. Support from Recognized Incubators:

   Startups can collaborate with government-recognized incubators for:

   • Mentorship and guidance.
   • Access to shared office spaces, labs, and other infrastructure.
   • Networking opportunities with industry experts and investors.

2. Startup India Hub:

   The Startup India portal connects startups with incubators, providing resources to:

   • Develop business models.
   • Refine product-market fit.
   • Validate and scale their ideas.

3. Incubation under Specific Schemes:

   • Atal Innovation Mission (AIM): Provides incubation support through Atal Incubation Centers.
   • Startup India Seed Fund Scheme (SISFS): Offers financial aid for idea validation, prototype development, product trials, and commercialization​

Funding Benefits

1. Fund of Funds for Startups (FFS):

   • A corpus of ₹10,000 crore managed by SIDBI (Small Industries Development Bank of India).
   • Offers indirect funding by investing in venture capital (VC) funds that back startups.
   • Focuses on sectors like tech, health, agriculture, and more.

2. Startup India Seed Fund Scheme (SISFS):

   • Provides grants up to ₹20 lakh for proof of concept, prototype development, or product trials.
   • Startups can also access loans up to ₹50 lakh for scaling operations.

3. Angel Tax Exemption:

   • Recognized startups are exempt from angel tax under Section 56(2)(viib) of the Income Tax Act, ensuring investor confidence.

4. Eligibility for Government Schemes:

   • Access to loans under schemes like MUDRA and other sector-specific initiatives.

5. Public Procurement Relaxation:

   • Recognized startups can bid for government projects without prior experience or turnover limits, fostering funding through public contracts​

Additional Perks

• Startups with DPIIT recognition enjoy streamlined processes for both funding and incubation applications.
• Special incentives are available for sectors like biotechnology, where high capital investment is typically required.

These incubation and funding benefits position startups for success, providing critical support at different stages of their lifecycle.

Section 80-IAC of the Income Tax Act, 1961, provides eligible startups with a 100% tax exemption on profits for three consecutive years within their first ten years of incorporation. This incentive is aimed at fostering innovation and reducing the financial burden on startups during their growth phase.

Eligibility Criteria

1. Startup Recognition: The startup must be recognized by the DPIIT via the Startup India portal.
2. Incorporation Period: Incorporated between April 1, 2016, and March 31, 2025.
3. Turnover Limit: Annual turnover should not exceed ₹100 crore in any financial year.
4. Nature of Business: The startup must focus on innovation, development, or scalability with high employment or wealth-generation potential.
5. Original Entity: The business must not result from splitting or restructuring an existing entity.

Approval Process

1. DPIIT Recognition: Apply for DPIIT recognition on the Startup India portal with necessary documents (e.g., Certificate of Incorporation, MoA, or LLP Agreement).
2. Tax Exemption Application: After recognition, apply for Section 80-IAC exemption through the portal, submitting audited financials, ITRs, a pitch deck, and other relevant details.
3. IMB Review: The Inter-Ministerial Board (IMB) evaluates applications based on innovation, scalability, and employment potential.
4. Approval: Upon IMB approval, the startup receives a certificate granting tax exemption for three years.

Key Notes

• The exemption is not automatic; approval depends on compliance with all criteria and IMB’s evaluation.
• Rejected startups may address concerns and re-apply.
• Post-approval, startups must maintain compliance with applicable laws and submit financial updates.