1.) LTCG Tax on Equity - Taxing Genuine Investors to get a best case 3000-5000 cr of Tax Revenue and losing 15 lakh crore Market Cap but not catching and penalizing Tax Evaders/Money Launderers does not seem Morally or Revenue Right.
2.) The Big Statement in Budget2018
3.67 Lakh Crores of Exempted LTCG Tax in A Y 2017-2018 and 20k crores expected in tax revenue in 2019 and 40k crores in 2020.
3.) Matching the 3.67 lakh crore number with Income Tax Website.
https://www.incometaxindia.gov.in/Pages/Direct-Taxes-Data.aspx
Looks like 5 years data added as per Income Tax Website. All Tax Payers – Range of Long Term Capital Gains Tax
4.) Conclusion
The data on Income Tax India website for LTCG is only for other asset classes.
Or the budget used a cumulative data of 5 years?
Or the data used in the budget for LTCG for Equity is from the Income Tax and other agencies but not available on any public website
5.) Invert , Invert , Invert !!
1) LTCG Collection 2) 3.67 lakh cr number in one A.Y .
1) LTCG Collections - How Much ?
As per the statements of FM and Finance Secretary the expectation was 20,000 cr in 1st year and 40,000 cr in 2nd year.
Tough to get 20000 cr every year.
6.) The LTCG tax estimate of 20000 cr and 40000 cr from next year does not add up as it expects 30-40% of all Volumes to be LTCG profit booking.
Expects 6-10% of Equity of Indian Markets to change hands!! The Public holding is less than 10% and another 6% through MF
7.) Who Holds How much & Why Numbers dont Add up.