What is an eligible company?
​An eligible company is one that is incorporated in India after April 1 of the previous year in which capital gains arise, is engaged in the business of manufacture of any article or thing or in an eligible business, the transferor (assessee) of residential property has more than 25% share capital (or voting right) of such company (after subscription), and the company is either a SME under the MSME Act, 2006 or an eligible start-up. ​