SEBI Proposes LTCG Tax Changes for Foreign Funds in Indian Equities
- Reports
- 2
- Developments
- 1
- Repetition
- 50%
New informationRepeats or wire copies
What happened
The Securities and Exchange Board of India proposed removing the 12.5 per cent Long-Term Capital Gains tax on foreign funds investing in Indian equities. This proposal is subject to the final decision of the Government of India. HDFC securities noted that this change addresses a key demand of overseas investors.
From calcuttanews.net
Why it matters
The proposal comes amid concerns over the attractiveness of domestic markets, as foreign investors withdrew approximately Rs 3.07 lakh crore from Indian equities in 2026. HDFC securities stated that the move is positive for the markets at large, though the company also noted that taxation changes would not directly impact India's GDP growth.
From calcuttanews.net
Who's involved
- Securities and Exchange Board of IndiaProposed the tax changes for Indian equities.
- Government of IndiaRetains the final decision on the proposed taxation changes.
- HDFC securitiesCommented on the proposal, calling it positive for the markets.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- HDFC securitiesSpeculative
Could see financial services revenue increase if the tax change boosts market attractiveness.
- Indian RupeeSpeculative
May see foreign capital outflows reduced if the tax change improves market attractiveness.
Keep exploring
The entities involved
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Securities and Exchange Board of India
registration authority
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Government of India
legislative, executive and judiciary authority of India
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