Sensex drops 400 points following budget announcement of increased capital gains tax
PTC News Desk: Following the announcement by Finance Minister Nirmala Sitharaman at the presentation of the Union Budget 2024 of higher capital gains taxes, Indian stocks have been trading downward.
Today, Ms. Sitharaman declared that the short-term capital gains tax will rise from 15% to 20% and the long-term capital gains tax would rise from 10% to 12.5%.
Following the announcement, the 30-share Sensex pack fell more than 400 points and momentarily crossed the 80,000 threshold. Additionally, Nifty is trading negatively. Yesterday, the NSE benchmark concluded at 23,537.85, while the Sensex closed at 80,502.08.
The one bright spot in the Budget was the rise in the new regime's standard deduction from ? 50,000 to ? 75,000. Among the top gainers in the BSE pack are Titan, ITC, and Hindustan Unilver; the top losers are Power Grid, Bajaj Finance, and Larsen & Toubro.
IT companies with negative returns include Tech Mahindra, Infosys, and HCLTech. The hiring in the IT sector slowed down dramatically in the previous fiscal year, according to the pre-budget Economic Survey, which was released yesterday. It is unlikely that this trend will continue.
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- With inputs from agencies
