It makes startups eligible for tax incentives as per specified conditions under the income tax department’s Budget 2022 promise of extending the incorporation period by one year to March 31 this year.

Tax incentives will be available to startups incorporated before April 1, 2023, for three consecutive years.

In an official tweet on Wednesday, the Income Tax department announced that the period of incorporation of eligible start-ups has been extended by one year to 31st March, 2023.