Last reviewed: 25 September 2026. DPIIT recognition is the gateway to India's startup benefits - the section 140 (old 80-IAC) tax holiday, self-certification and IPR support. This guide explains who is eligible under the February 2026 notification, what the recognition unlocks, the new Deep Tech Startup category, and how to apply on the Startup India portal.
At a glance
Who qualifies
Under DPIIT notification G.S.R. 108(E) dated 4 February 2026, your entity must be a private limited company, LLP, registered partnership firm, or a cooperative / multi-state cooperative society, up to 10 years old, with turnover not exceeding Rs 200 crore in any financial year, working on innovation or a scalable model, and not formed by splitting or reconstructing an existing business.
| Criterion | Startup | Deep Tech Startup |
|---|---|---|
| Maximum age | 10 years from incorporation/registration | 20 years from incorporation/registration |
| Turnover limit (any financial year) | Rs 200 crore | Rs 300 crore |
| Eligible entities | Private limited company, LLP, registered partnership firm, cooperative / multi-state cooperative society | |
What recognition unlocks
- Section 140 of the Income-tax Act, 2025 (old 80-IAC) - a 100% profit deduction for three consecutive years within the first ten years, for an eligible company or LLP incorporated before 1 April 2030, on separate approval.
- Angel tax - old Section 56(2)(viib) was abolished from FY 2024-25 (AY 2025-26) and the 2025 Act has no equivalent, so no exemption is needed any more.
- Self-certification under specified labour and environment laws.
- IPR support - faster patent/trademark processing with rebates.
- Easier winding up under a fast-track process.
The deep-tech category
The February 2026 notification created a separate Deep Tech Startup category for ventures built on new scientific or engineering knowledge, with long development cycles and heavy R&D spend. Such an entity is treated as a startup for up to 20 years from incorporation, with a turnover limit of Rs 300 crore. Keep evidence of R&D spend and intellectual property ready, as the application has to show the deep-tech character of the work.
How to apply
Register on the Startup India portal with your incorporation certificate, PAN, a clear write-up on how you are innovative or scalable, and founder details. Recognition is generally processed quickly when the documentation is in order; the section 140 (old 80-IAC) tax holiday is a separate, more detailed application to the inter-ministerial board.
Frequently asked questions
What is DPIIT startup recognition?
It is official recognition of your entity as a startup by the Department for Promotion of Industry and Internal Trade, granted through the Startup India portal, which unlocks tax and regulatory benefits.
Who is eligible?
Under DPIIT notification G.S.R. 108(E) dated 4 February 2026: a private limited company, LLP, registered partnership firm, or a cooperative / multi-state cooperative society, up to 10 years from incorporation or registration, with turnover not exceeding Rs 200 crore in any financial year, working on innovation, development or improvement of products/services or a scalable business model - and not formed by splitting up or reconstructing an existing business. A Deep Tech Startup gets up to 20 years and a Rs 300 crore turnover limit.
What are the main benefits?
Eligibility to apply for the startup tax holiday under section 140 of the Income-tax Act, 2025 (old section 80-IAC), self-certification under certain labour and environment laws, faster IPR processing with rebates, and easier winding up. Angel tax under old Section 56(2)(viib) was abolished from FY 2024-25, so recognition is no longer needed for that.
What is the 80-IAC tax holiday?
From tax year 2026-27 it is section 140 of the Income-tax Act, 2025 (old section 80-IAC). An eligible startup company or LLP incorporated before 1 April 2030 can claim a deduction of 100% of profits for any three consecutive years within its first ten years, subject to a separate application and approval by the inter-ministerial board.
Is the angel tax exemption still relevant?
No. Angel tax under old Section 56(2)(viib) was abolished from FY 2024-25 (AY 2025-26) by the Finance (No. 2) Act, 2024, and the Income-tax Act, 2025 has no equivalent. DPIIT recognition is therefore no longer needed for angel-tax relief.
What is the deep tech angle for 2026?
G.S.R. 108(E) dated 4 February 2026 created a separate Deep Tech Startup category for ventures built on new scientific or engineering knowledge with long gestation and high R&D spend. Such an entity is treated as a startup for up to 20 years from incorporation, with a turnover limit of Rs 300 crore.
What documents are needed?
Incorporation/registration certificate, PAN, a brief write-up on how the startup is innovative or scalable, details of directors/partners, and website or pitch material where available. A deep tech applicant should also keep evidence of R&D spend and intellectual property.
How long does recognition take?
Applications on the Startup India portal are typically processed reasonably quickly once the write-up and documents are in order; the section 140 (old 80-IAC) tax holiday is a separate, more detailed approval.
We prepare your recognition application, the section 140 (old 80-IAC) tax-holiday application, and the supporting write-ups.
Startup India DPIIT Funding AdvisoryStartup Tax Holiday 80IAC AdvisoryTalk to CA Somesh Chandak & Associates - we handle DPIIT recognition and startup tax benefits.
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