Sreejith Moolayil, founder of Pune-based start-up True Elements raised Rs. 1.5 crore for his venture from an angel investor in year 2015. That would have been good news, except two years later, he received an order from the income tax department to pay Rs. 40 lakh from that amount to the taxman as "angel tax". He now worries the taxman might send him a notice to pay up tax on the amount he raised in the second round of funding for his start-up, but he is not alone in his concerns.