SBI economists call for scrapping LTCG tax on equities

Economists at the State Bank of India have called for the long-term capital gains tax on equities to be scrapped, placing the issue of equity taxation in focus.

Proposal focuses on equity LTCG tax

The economists’ recommendation concerns the long-term capital gains tax applied to equities. Their call is specifically for the tax to be removed.

Potential significance

The proposal could add to discussion around how long-term equity investments are taxed. However, the available information does not specify the economists’ reasons, any proposed replacement, or whether the recommendation has received consideration from policymakers.

What is known

• SBI economists called for the scrapping of the long-term capital gains tax on equities.
• The recommendation relates to taxation of equity investments.
• No further policy details or government response were provided.

The call marks a recommendation from SBI economists on equity taxation, while its wider policy implications remain unspecified.