New Delhi, Feb. 10 -- In a significant policy reset, the commerce ministry has tweaked startup recognition rules to better reflect the realities of long-gestation and scaling businesses. The changes expand eligibility timelines and ease thresholds, helping more startups access tax breaks, exemptions and government support for longer periods. Mint unpacks what's changed, why it matters for founders, and how startups can leverage the benefits.

The government revised the Startup Recognition Framework under the Startup India Action Plan last week to make it more inclusive for scaling and innovation-led businesses.

The turnover limit for startups has been raised from Rs.100 crore to Rs.200 crore to help growing companies retain recognition a...