A directive from the Central Board of Direct Taxes (CBDT) seeks to protect start-ups recognized by the DPIIT from excessive scrutiny regarding the updated _______ rules within the Finance Act of 2023.

### Concept & Angel Tax Exemption Angel Tax is levied on the capital raised by unlisted companies if the share price exceeds the fair market value. The Finance Act of 2023 introduced changes to these rules. ### Step-by-Step Solution * The CBDT directive aims to ease the compliance burden for recognized start-ups. * The Department for Promotion of Industry and Internal Trade (DPIIT) grants recognition to eligible startups, exempting them from Section 56(2)(viib) of the Income Tax Act, commonly known as the Angel Tax. * The CBDT instructed field officers to avoid unnecessary scrutiny of these DPIIT-recognized start-ups specifically concerning the revised Angel Tax provisions. ### Exam Strategy & Shortcut Whenever DPIIT recognition is linked to taxation relief for startups in recent current affairs, the most commonly tested topic is the 'Angel Tax' exemption. ### Common Pitfall Confusing general Corporate Tax incentives for startups with this specific targeted relief regarding premium share valuations (Angel Tax). ### Final Answer Therefore, the correct answer is **Angel Tax**.