That's employees stock options harshly.

In fact, I would say very harshly.

Let me give you a quick history lesson.

You know, when I found the TV 18 in the early nineties, we had at that at that point in time, given what I would call fairly generous stock options to our critical team members.

Now, in that sense, we belonged to a clatter off ESOP pioneers in India.

And since we were leaders in business news, we also had to drill down into issues around entrepreneurship, taxation on union budgets.

Now I'll cut.

So that very fateful union budget off 2007.

Now in that the aggressive Mr P.

Chidambaram, the finance minister, then had unbilled what I can only call a very shocking model off Aesop taxation.

Let me explain with a very simple example.

Now imagine a stock or a share who's a fair market value is, let's say, ₹100 now to incentivize a key employees Azuma that she is given a grant off one million options at ₹10.

Not this clearly because of the 90 degree difference will give her a potential knowthis word.

Potential income off 90 million or ₹9 crore.

You know, I call it potential because it's not yet a really Orian realized income because obviously, no actual shares have yet come into her possession now as you further that she has two years, let's say, two years to tell the company whether she is accepting the ground or she's not accepting it now.

This two year thing is called the Exercise Period.

The minute she says Yes, I want the ground.

She has what's technically called, exercised it.

But note note, a very vital fact that it could take several more weeks, even months, actually off fairly complicated regulatory steps for her toe actually own actually own these chairs after she has said yes.

Now this is where the trouble started.

Mr.

Chidambaram said she should pay the tax immediately upon the exercise.

But as I've just told you, there's a problem, right?

She has yet to get the shares all the so called Jane's a notional there on paper.

So how, when?

Why should she pay a tax on an illusory on as yet known existent income?

No worse.

Imagine that she gets the shares in three months, but some something adverse has happened in that in that height is in that interim period on dhe say the value off each stock.

Each share has dropped to ₹5 from the ₹90 that she thought she was going to gain.

You know, the ₹100 price now.

Therefore, see the sea the very ridiculous situation that she will find herself in.

She would have paid tax on an income so called income off nine cross on ₹90 million even though she has made a loss of 50 lacks off ₹5 million.

So you know what the budgets logic was clearly absurd.

It it flew in the face off.

Every cannon off taxation that is a tax should be not 11 on notional income should never be levied on losses, you know?

But that's how it happened, and it happened only in India.

But now let's come to this year's budget.

Finance Minister Nurmela Sita Roman said that she had fixed the long festering ESOP tax wound.

This is what he said during the formative formative years.

Start up generally used employee stock options, man, the top dress and everything highly talented employees needs is a significant, competent off compensation for these employees currently is officer taxable as purposes at the time off exercise.

This leads to a cash flow problem for the employees who do not sell the shades immediately and continue to hold them for the whole the same for long term.

In order to give a boost to the star typical system, I proposed to ease the burden off taxation on the employees by differing the tax payment by five years or 10 that leave the company.

When did you return?

Earlier when she said this Indian startups, you know, erupted in yours.

Thank you.

Thank you.

We are a very strange country.

You know, we applaud when a mistake that should not have happened in the first place.

When a mistake that is corrected after dozens of years off, you know, very exploitative, almost vicious implementation.

Yet we applauded because in India an excruciatingly delayed correction not my words, excruciatingly delayed correction.

You know what we call it?

We call it reform anyway, the real drama and tragedy.

And this is almost like a you know, goddamn Durham Bollywood potboiler.

It lay coiled in the fine print off what the Finance Minister said because as as usual, you know, unwaveringly with deadly precision.

India's bureaucrats struck to neuter even this so called tiny reform.

Just see, just see what they did.

Now it's not a general policy applicable toe all 40,000 plus Ford startups.

No, sir, it's restricted.

Hold your breath.

It's restricted only about 250.

Only 250 off the few chosen by a committee off government secretaries who have ordained with sort of divine conviction that, you know, come hither, you innovative free newbies.

You know you will enjoy these stop tax concessions.

And then there is an even sharper sting in the tail.

You know, the perverse taxes not abolished.

Its only differed by five years.

And if you leave the company, you lose the concession.

Now this, with one stroke, has will end up creating rigid, inflexible market for hiring talent.

So, as I've said before, there they go again, micromanaging and tinkering with the free market off mobile talent.

And finally, why?

Why is this concession not given tow any east upholder?

Why?

You know the here is the engineer, for instance, who made Facebook APS work on geo feature phones is he or she any less talented and creative?

Why is he or she being denied this concession just because he or she works in a large company?

Is talent going to be the determinant or the size off the employers balance sheet?

So what can I say?

In the end, I truly believe that Mr Nirmal Aceto Roman's quest was honest.

She really didn't want to correct an injustice.

But heard bureaucrats simply torpedoed her noble intentions.

So therefore, alas, he stop.

Aesop continues to be a much abused acronym in India.

Frankly, as it stands today, it expands not to employees stock options, but to an egregious state, which is oppressing performers another year recharge many of the Abdeslam networking, raising me up in a missile not attend to our Mohammadi Henry Quincy YouTube channel today.

Are you a video cooking Lima beans?