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GST & Business Hackseasylow riskImmediate1 min readUpdated 30 Oct 2025

Angel Tax Abolished 2025

Zero angel tax on startup funding from April 2025

Potential Savings
No angel tax
Time Required
Immediate
Complexity
Easy
Legal Status
Fully legal
applicable toStartup

overview

What is this hack?

Startups raising funds from April 1, 2025 face zero angel tax (Section 56(2)(viib) abolished) on premium over valuation, boosting funding climate

key benefits
  • Potential savings: No angel tax
  • Implementation time: Immediate
  • Legal status: fully legal
  • Risk level: low

related topics

startupangel taxfundingsection 56abolished

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Need help implementing this hack?

Get expert guidance from CA Ashama Rajawat on implementing this strategy correctly for your specific situation.