Mumbai: The introduction of the long-feared long-term capital gains, or LTCG, tax on stocks roiled equity markets on budget day. The new LTCG tax on sale of equities will be applicable on gains exceeding Rs1 lakh. Other taxes include corporate tax on profits, the dividend distribution tax and the securities transaction tax. “The increased equity tax could begin to matter if equity returns faltered. A few analysts said that the LTCG tax will help in arresting irrational exuberance and froth around steep valuation.

Source: Mint February 01, 2018 22:27 UTC