ICRA said the removal of STT has been a long-sought demand by market participants and as the GST collection went up, this demand has again gained traction.
In the case of STT, ICRA said the removal of STT has been a long-sought demand by market participants and as the GST collection went up, this demand has again gained traction. The move, if it does, will attract more investors to invest in domestic equity markets, the ratings agency said.
Besides, ICRA noted that corporates pay tax on profit and at the same time the government levies tax on dividends at the hands of shareholders, resulting in double taxation on dividends. A relief from double taxation on dividends will be appreciated by markets, it said.
I advocate for a consideration of removal of either Long-Term Capital Gains (LTCG) or Securities Transaction Tax (STT), which may provide further support to the equity culture in India," Sunil Nyati of Swastika Investmart said in his Budget preview. Read more:
