SBI Research urges scrapping LTCG tax on equities
In short
SBI Research has asked the government to remove long-term capital gains tax on equities and to lengthen holding periods to two or three years. The request came as foreign investors pulled money out and the rupee came under pressure.
The move could help attract foreign money, but the government has not said if it will act. It is not stated what decision, if any, is being considered.
What the reporting says
SBI Research urged the government to scrap long-term capital gains tax on equities and extend holding periods to two or three years, according to a publisher summary. The proposal was linked to heavy FPI outflows and pressure on the Indian rupee. The immediate consequence is that the call adds to the policy debate, while the government’s response is not stated in the available reporting.
Why it matters
SBI Research urged the government to remove LTCG tax on equities and to lengthen holding periods to two or three years, based on a publisher summary. The proposal was tied to heavy FPI outflows and pressure on the Indian rupee. This matters for foreign investors, domestic equity markets, and policy makers, but the government’s position and any timing for a decision are not stated in the available reporting.