But any further upside made from now will attract the LTCG tax, without inflation indexation. "At present it (STT) remains and I do not want to give any cause for speculation. It spread to the world and, therefore, it was a combination of capital gains along with the global impact that was taking place. "Over a three-year investment period, this makes equity taxation worse than that on debt, where a 20 per cent LTCG tax is applicable, but with inflation indexation. This in itself may not be enough to stem the flow of (domestic) funds into equity markets -- as expected (read trailing) equity returns are still high.

Source: Economic Times February 03, 2018 08:36 UTC