Investing in Indian and Foreign Start-up Companies provides an overview of the regulatory regime in India for allotment of shares and securities by start-up companies to investors, employees, directors, consultants and advisors etc. and explains in a simple language, the income tax consequences for investors investing in Indian unlisted companies either directly or through Alternative Investment Funds. It summarizes the regulatory framework for issue of ESOPs, sweat equity shares and shares on a preferential basis; and elucidates the income tax consequences on the company and its employees, directors, consultants and advisors on such allotment. This handbook also expounds the income tax consequences and the foreign exchange regulatory regime in India for foreign investments in Indian start-ups and overseas investments from India in foreign start-up companies.
This handbook is presented in a Question and Answer format to help investors, start-up entrepreneurs and the various stakeholders understand the complex regulatory regime in an easy manner and use it as a reference guide. This handbook will be useful to angel investors; angel funds; general investors; entrepreneurs; start-up entities; and employees, advisors, & consultants of start-up companies.
S Krishnan is an international tax professional, author and speaker, providing tax advisory services to family owned funds, angel funds & start-up companies. He provides ‘tax health check–up’ and compliance oversight of international tax, employee mobility & transaction taxes to companies having overseas operations. He has significant practical experience of globalizing a company’s operations having managed the entire gamut of planning, compliance, tax audits & litigation in international income-tax & transaction tax; due diligence, contract structuring, & risk mitigation at Infosys Limited as a former Vice President & Group Head – International Taxation.