Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q15: Identify the correct statement regarding the "Angel Tax" provisions in the Union Budget 2026-27.

A
It has been reintroduced with a higher rate of 40%.
B
It applies only to investments from non-resident investors.
C
The abolition of Angel Tax announced in the previous budget (2025-26) remains in force, and no new provisions were added.
D
It now applies to Startups registered with DPIIT.
✅ Correct Answer: C
The abolition remains in force.
The controversial "Angel Tax" (Section 56(2)(vii b)) was abolished in the Budget 2025-26.
The Union Budget 2026-27 reiterated that the government is committed to a "vibrant startup ecosystem" and confirmed that the tax remains abolished.
No new "valuation" taxes were introduced this year.