The amendment increases tax liability upon the startup and severely affects their dependency on seed funding during their initial rounds.

The article aims to argue that the exemption to LTCG tax given by Section 54EE of the Income-tax Act 1961 is unsuitable for Indian startups.

Authors hope that the angel tax amendment is given another perspective due to inherent challenges.

The author sees the amendment to the LLP Act as encouraging entrepreneurs and other professionals to consider forming LLPs.