Minister of State for Finance Pankaj Chaudhary made the clarification in a written reply in Parliament amid calls from a section of market participants for tax relief to boost investor sentiment.
"There is no such proposal under consideration," Chaudhary said, according to Moneycontrol.
What is LTCG tax?
In India, for example, the LTCG tax on equities, mutual funds and stocks is 12.5% if the profits reach Rs. 1.25 lakh in a fiscal year. The LTCG tax rate is 12.5% with an indexation advantage for other assets such as real estate, gold, and debt mutual funds, GROWW website said.
The tax rates have remained unchanged since they were revised in the Union Budget presented in July 2024.
According to an India Today report, several investors and market experts have argued that reducing the LTCG tax rate or raising the exemption limit could encourage long-term investing, improve market sentiment, and increase retail participation in equity markets.
According to India Today report, many investors and market experts had argued that reducing the LTCG tax rate or increasing the exemption limit could encourage long-term investing and improve market sentiment.