Well explained Sir. You are always quick and very clear. My take on LTCG is it will give Huge tax collection advantage to the Government. Infact, if Goverment uses this funds wisely during next 5 years we can become DEVELOPED ECONOMY. (we need to move from developing to developed). LTCG tax collection will definitely help to improve our GDP. I also personally feel, it will give more stability and improves fundamentals of stock market which in turn can add 1 to 1.5% extra growth to equity portfolio over long term (7+ years). Bottom line is best use of tax funds and it depends on the Government.
I like your positive attitude Andrew. I concur your thoughts. It’s just the “If” part of the usage of Funds that worries me. One thing is for sure, We are a big and well-connected country and will keep on growing either in a planned way or otherwise 🙂
Investors have been investing in various equity schemes and were accruing better returns keeping the money for longer periods giving less concern of liquidity to the fund managers. Now, I have to pay 10% tax on long term gains. I may hesitate to invest. Will it not affect the capital flow in the market and ultimately scuttle the developmental projects for the paucity of funds.
Thanks for the very nicely explaining the various effects of the budget.
Who will loose in long run if you don’t invest?
Equity is one of the investment asset class. Investors money will move where the growth is. In my view, post-tax long-term return in equities will still remain better than other instruments.
Well explained Sir. You are always quick and very clear. My take on LTCG is it will give Huge tax collection advantage to the Government. Infact, if Goverment uses this funds wisely during next 5 years we can become DEVELOPED ECONOMY. (we need to move from developing to developed). LTCG tax collection will definitely help to improve our GDP. I also personally feel, it will give more stability and improves fundamentals of stock market which in turn can add 1 to 1.5% extra growth to equity portfolio over long term (7+ years). Bottom line is best use of tax funds and it depends on the Government.
I like your positive attitude Andrew. I concur your thoughts. It’s just the “If” part of the usage of Funds that worries me. One thing is for sure, We are a big and well-connected country and will keep on growing either in a planned way or otherwise 🙂
Investors have been investing in various equity schemes and were accruing better returns keeping the money for longer periods giving less concern of liquidity to the fund managers. Now, I have to pay 10% tax on long term gains. I may hesitate to invest. Will it not affect the capital flow in the market and ultimately scuttle the developmental projects for the paucity of funds.
Thanks for the very nicely explaining the various effects of the budget.
Who will loose in long run if you don’t invest?
Equity is one of the investment asset class. Investors money will move where the growth is. In my view, post-tax long-term return in equities will still remain better than other instruments.