Understanding the Changes in Capital Gains Tax for Budget 2024
Tuesday, 23 July 2024, 07:29
Overview of Capital Gains Tax Changes
The Budget 2024 has announced crucial reforms regarding capital gains tax that impact individual investors significantly.
New Exemption Limit
- The exemption limit for capital gains on equity has increased to Rs 1.25 lakh.
Revised Tax Rates
- Short-term capital gains (STCG) tax rate is now set at 20%, an increase from previous rates.
- Long-term capital gains (LTCG) will start being taxed after one year of holding.
Conclusion
The adjustments in capital gains tax within Budget 2024 are monumental. They not only change the tax landscape for equity investors but also reflect government efforts to rationalize the capital gains structure for all asset classes.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.