1. Congress slams start-up action plan for silence on net neutrality

Congress slams start-up action plan for silence on net neutrality

Congress today criticised the Centre's action plan on start-ups a day after its launch as it said that Prime Minister Narendra Modi's "silence" on the issue of net neutrality, a "key" component for such businesses, was "deafening".

By: | Published: January 17, 2016 8:08 PM

Congress today criticised the Centre’s action plan on start-ups a day after its launch as it said that Prime Minister Narendra Modi’s “silence” on the issue of net neutrality, a “key” component for such businesses, was “deafening”.

Further, with the government announcing the setting up of a Rs 10,000 crore funds for start-ups, the party said that such money should be used “in important social sectors” and not in risky generic venture capital funds.

“It is unfortunate that in the mega show for start-ups that the government held yesterday, the prime minister failed to commit to net neutrality. His silence on this vital issue is deafening,” he said.

“In meetings that Congress Vice President Rahul Gandhi held with start-ups across the country, the most important policy requirement expressed by entrepreneurs was for the maintaining of neutrality of the Internet between big business and start-ups,” he said.

The prime minister had yesterday unveiled a slew of incentives to boost start-ups, including offering them a tax holiday, capital gains tax exemption and a Rs 10,000 crore corpus to fund them.

But in his reaction to the launch of the initiative, Ramesh said that the policy has “many misses”.

The former Union minister further mocked “yet another re-discovery” by Modi of something that Congress “has always recognised”.

Congress is proud that India rose to becoming the “third- largest start-up ecosystem” in the world during its rule, Ramesh said and suggested that the government use taxpayer money in sectors such as agriculture, education and affordable healthcare.

“Further, the government announced a Rs 10,000 crore corpus for generic venture capital funds that anyway attract funds from various sources, including foreign billionaires.

“It is prudent to optimise government funds in important social sectors and not in risky generic venture capital funds,” he added in a statement here.

Net neutrality implies that equal treatment be accorded to all Internet traffic and no priority be given to an entity or company based on payment to content or service providers, such as telecom companies, as that is seen as being discriminatory.

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  1. Hemen Parekh
    Jan 18, 2016 at 4:46 am
    TEN MILLION START- UPS IN ONE YEAR ? Thank you , Narendrabhai , for the Start Up Action Plan announced last evening I am glad that some of my suggestions ( sent to Ministers / Secretaries ) over the past 2 years , have been incorporated in the ACTION PLAN , in respect of : * Self Certification * Simplified Registration thru Mobile App * Tax Exemption for Capital Gains * Entrepreneurship Program for 10 lakh students * No Corporate Income Tax for 3 years You will find my detailed suggestions covering these points in following blogs at , : * A New Economic Order - Start Up Act 2015 / 12 Sept 2015 * From Job Seekers to Job Creators / 15 Sept 2015 * Back Factory of the World / 09 Sept 2015 * Blue Print for a Start Up Nation / 27 Dec 2015 * Creating Jobs Vs Creating Self Emplo ? / 10 Dec 2015 * Get Out of the Way / 01 Dec 2015 * Ten Million Entrepreneurs ? / 19 Oct 2015 * Start Up Eco System / USA vs India / 01 Oct 2015 * Treading the Beaten Path / 25 Sept 2015 * Second Industrial Revolution / 21 Sept 2015 * From Single Window to a Single Day ? / 19 Sept 2015 * Myth of Job Creation / 12 Sept 2015 * Killing Many Birds with One Stone / 07 Sept 2015 * If Mohamed cannot go to Mountain / 26 July 2015 * Ditch Historical Baggage / 24 Dec 2015 * Create Self Employment / 21 Feb 2015 Very likely , your initiative may see the birth of ten thousand new start-ups in 2016-17, which , together , might generate one lakh jobs In itself, this will bring a new dynamism to India's Economy But that will still fall far short of 12 Million ( 120 lakh ) youth joining the work-force each year Can all of these youth become Start Ups ? It is entirely possible All you need to do is to implement my following suggestion, described in , " A New Economic Order / Start Up Act - 2015 " / 12 Sept 2015 " : SUGGESTION * Although all Start Ups will need to file annual Income Tax returns ( with full disclosure of income / expenses / profits / sources of funds etc ) , it will not be required to pay any Corporate Income Tax for the first 10 years of its existence * A Start Up will be free to raise funds from any source ( Individuals / Companies / PE funds / VCs / Angel Investors / Religious Trusts etc ) * 100 % FDI will be permitted in Start Ups * A Start Up can receive loans or equity and be able to accept fixed deposits . It can also give loans to individuals or other Start Ups or invest in other Start Ups by way of equity * There will be no restrictions on what interest ( on loans / FDs ) that a Start Up may pay nor any restrictions on dividends it may declare The dividends declared by Start Ups will not attract any Income Tax * As far as the persons / companies etc providing funds to Start Ups ( by way of loans or equity ) is concerned , no questions will be asked re their source of funds WHAT WILL HAPPEN , IF IMPLEMENTED ? * Billions of rupees worth Black Money will flow into these Start Ups - money which is currently lying unutilized or locked up in unproductive ets * Within 3 months , thousands of Venture Capital Funds will be born , exclusively for funding of Start Ups ( You know who will set up these VCs ! ) * With NO Income Tax to be paid , Start Ups will conduct all transactions through cheques ( receipts / payments ) * GST collections will go up * Domestic Savings Rate will go up * Since millions of ( Black Money holding ) individuals / businesses will come forward to fund these Start Ups , lending pressure on banks will go down * Who knows , Start Ups may get into the business of ets Reconstruction and relieve banks of NPAs ! * With locally / domestically stashed Black Money flowing into the economy , our dependence on FDI will go down * Corruption will decline drastically Dear Shri Narendrabhai : It is still not late to incorporate my suggestion in forthcoming Union Budget on 29 Feb 2016 This is your opportunity to * Dream BIG * Enable millions to dream big * Unleash the Entrepreneurial Genome of India's Youth * Make 21st Century , an Indian Century * notwithstanding the opposition in Rajya Sabha ------------------------------------------------------------------------------------------------------- hemen parekh 17 Jan 2016

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