SEBI backs scrapping LTCG tax for foreign investors
In short
SEBI has recommended removing long-term capital gains tax for foreign investors and giving tax relief to domestic mutual funds. The reports say this was suggested ahead of the February federal budget, but the exact details are not official.
This could help equity markets and fund flows if the government accepts it. But the final decision is still with the government, and no outcome has been announced.
What the reporting says
SEBI has recommended removing the long-term capital gains tax for foreign investors and offering tax relief for domestic mutual funds, according to publisher summaries. The sources say the suggestions are aimed at boosting equity markets and were made months before the February federal budget. The proposals are not binding, and the government still has the final decision, but no official action has been announced.
Why it matters
SEBI has recommended tax changes affecting foreign investors and domestic mutual funds, based on publisher summaries. The reported aim is to support equity markets, but the proposals are not binding and the government must decide whether to act before the February budget. The reporting does not state the full draft, timing of any announcement, or whether the measures will be adopted.