By the same token, nobody had quite anticipated what Arun Jaitley did deliver on Wednesday: a “please none” budget. Then, to displease all investors, Jaitley announced the return of the long-term capital gains tax buried 15 years ago and replaced by a securities transaction levy. For one thing, a developing country with inadequate domestic savings (and a perennial current-account deficit) needs a stable tax regime. (Hedge funds liked to trade India out of Mauritius to avoid a 15% tax on shares held for less than a year, but that advantage is on its last legs.) The government’s last full-year budget before elections may not have lit any large fires, but it also failed to ignite any big hope.

Source: Mint February 01, 2018 12:21 UTC