Centre won’t abolish LTCG Tax on mutual funds, equities: Report
Centre won’t abolish LTCG Tax on mutual funds, equities: Report
0
0
He Prime Minister Narendra Modi-LED Party Party (BJP) Bharatiya Janata (BJP) at the Center has no plans to eliminate the increase in the increase in long-term capital (LTCG) on equity and mutual funds, the Ministry of Finance told parliament on December 7.
Responding to questions raised at home, the Ministry of Union said it did not plan to improve the LTCG period from one year to two years for mutual funds or equity, report Mint.
The union government is rumored to be asked whether to increase LTCG in mutual funds and equity and eliminate LTCG tax to help accelerate the economic recovery from after the Coronavirus pandemic outbreak. For this, the Ministry of Finance The union answered said: “There is no such proposal that is considered.”
In particular, the increase in long-term capital in equity sales was made taxable w.e.f. April 2018. Before that, LTCG on equity investment was used for tax-free in India.
This center produces RS 1,222 Crore from LTCG in 2018-19 and Rs 3,460 Crore and Rs 5,311 Crore in the year of Assessment 2019-20 and 2020-21.
Equity investment also attracts a tax increase in short-term capital, which has a fixed rate of 15 percent regardless of income tax plate and applies to the sale of equity shares within 12 months.
