Market Icon Shankar Sharma Explains How LTCG Tax Changes Can Trigger A Bear Market

#modinomics #budget2024 #unionbudget2024 #shankarsharma #fmnirmalasitharaman
In an exclusive round table discussion on Business Today TV, Shankar Sharma expressed his dismay over the recent Budget 2024-25, particularly focusing on changes to capital gains taxes. His response to the significant increases in both long-term and short-term capital gains taxes. Sharma was astonished by the government's decision, especially given the subpar election numbers. He had hoped for stability rather than what he referred to as "tinkering" with tax rates, which in India means a substantial 25-30% change.
Sharma recalled a similar situation in 2018 when long-term capital gains (LTCG) tax was reintroduced after being absent for 11 years, during a period of market stability post-demonetization. This reintroduction, along with the ongoing Securities Transaction Tax (STT), contributed to a bear market in 2018 and 2019, which persisted until March 2020. According to Sharma, it was the Covid-19 pandemic that prevented a prolonged bear market. He emphasized that these tax changes have significant impacts, likening them to an increase in personal tax rates from 30% to as high as 37.5% or 40%. Listen in

#CapitalGainsTax #TaxReforms #ShankarSharma #MarketReaction #LongTermCapitalGains #ShortTermCapitalGains #SecuritiesTransactionTax #BusinessTodayTV #TaxPolicy #ElectionImpact #BearMarket #EconomicImpact #StockMarket #TaxIncreases
-----------------------
Thank You for watching! Do not forget to Like | Comment | Share
-----------------------
About the channel
Watch us for the best news and views on business, stock markets, crypto currencies, consumer technology, the world of real estate, bullion, automobiles, start-ups and unicorns and personal finance. Business Today TV will also bring you all you need to know about mutual funds, insurance, loans and pension plans among others.
Follow us at:
Website: https://www.businesstoday.in
WhatsApp: whatsapp.com/channel/0029Va4Hd309hXFCqY62yD2I
Facebook:   / businesstoday  
twitter:   / business_today  
Instagram:   / business_today