India slashes capital gains tax for PE investors

Tuesday, 8 May 2012 01:09 -     - {{hitsCtrl.values.hits}}

REUTERS: India will slash the tax on long-term capital gains for private-equity investors to 10 percent from 20 percent, a finance ministry statement said on Monday.

India will also exempt long-term capital gains on the sale of unlisted securities in initial public offerings from tax, the statement said. New Delhi also proposes to levy a 0.2 percent security transaction tax on the sale of unlisted securities.

Earlier on Monday, India deferred by one year the introduction of measures to crack down on tax evasion, responding to concern among foreign investors that has led to an exodus of funds.