Economic Survey 2022-23: Indian start-ups exploring reverse-flipping

Suggests simplifying tax layers, capital flow procedures like those in the US, Singapore

Indian start-ups are exploring ‘reverse flipping’, or shifting their domicile back to India, with easy access to capital from private equity and venture capital, changes in rules regarding round-tripping, and the growing maturity of India’s capital markets, observed the Economic Survey 2022-23.

This comes a month after it emerged that such a shift by PhonePe cost its investors around Rs 8,000 crore in taxes to allow the financial technology unicorn to domicile in India.

During a recent video session, the founders of PhonePe said over 20 start-up unicorns and their investors were looking for ways to move back to India