Business

Finance Ministry Denies Any Proposal on Capital Gains Tax, According to Report

On Tuesday, the finance ministry clarified that there are no talks regarding the capital gains tax. They further stated that the Government has not received any proposals related to this matter.

Also Read: Mixed Earnings in Netflix Amidst Password Crackdown Expansion Plan

Reportedly, individuals familiar with the matter have stated that India is planning to revamp its direct tax laws. The purpose of this action is to simplify the complex set of regulations and aid Prime Minister Narendra Modi in reducing the gap between the rich and poor in the event of his return to power next year.

According to sources, although India imposes a tax rate of up to 30% on income, it applies a lower rate of tax to gains made on specific assets like equity funds and stocks. This approach is deemed regressive and not equitable.

The source further mentioned that a committee might be established to improve the recommendations presented to the Finance Ministry in 2019. However, no conclusive determinations have been made, as per the source. The implementation of any new measures could occur in 2024.

Also Read: Government Revised Windfall Tax and Scrapped Export Duty on Diesel

Economists frequently attribute India’s neglect of direct taxes on capital and emphasis on indirect taxes – taxes on consumption – as the primary reason behind the exclusion of the country’s impoverished citizens, despite the creation of 70 new millionaires each day between 2018 and 2022. Oxfam International has estimated that the wealthiest 10% of India’s populace possesses 77% of the country’s total wealth, while government records indicate that merely 6% of the population pays income tax.

Shruti Rag

Recent Posts

Hina Khan Hails 11 Years Of PM Modi’s Leadership; Highlights National Progress

As the nation marks 11 years under PM Modi's leadership, actress Hina Khan shares her…

5 hours ago

Subhash Ghai Hails PM Modi’s Transformative Vision For India

Subhash Ghai has praised PM Narendra Modi’s leadership for catalysing India’s growth and changing the…

5 hours ago

India & Central Asia Boost Rare Earth Cooperation At Delhi Meet

India and five Central Asian nations have agreed to deepen cooperation on rare earths and…

6 hours ago

PM Modi’s Beej Se Bazaar Tak Vision Reshapes Indian Agriculture

Prime Minister Modi has redefined Indian agriculture with the ‘Beej Se Bazaar Tak’ vision, transforming…

6 hours ago

EV Sales Cross 4% Mark In May; Signalling Steady Shift To Green Mobility

EV sales topped 4% of passenger vehicle retail in May 2025, signalling growing demand for…

6 hours ago

Self-Reliant Defence Industry Marks India’s Strategic Security Ascent

One year into Modi 3.0, reforms have reduced poverty, strengthened defence, and accelerated the digital…

7 hours ago