Enough of this halla on LTCG Tax , I hv always said to stay away from noise but most of the Investors don’t seem to listen.
Firstly, Implementation of LTCG tax was long due, it is already there in majority of countries in the world; so nothing new has been Implemented here in India. Or waise bhi, when LTCG was not there for a long long time, Kitna fayda uthaya aapne iska ????
Secondly we people will still b paying 10-30% Tax at our 6.5% Return generating FDs but ironically we have a huge problem with 10% Tax on Equity which is generating 15-25% Returns in out Portfolios !!! Is it a clever thing to do?
Thirdly ,Some are saying that PF will now gain popularity, I say Yes, it will but only for those who all along failed in their MATHS class in Schools. bcoz MATHS says 15% is still > than 8%, even after Taxation.
We have a data on PPF vs Equity for last 20 Years which clearly shows that 20 lac Invested in PPF in last 20 Yrs is now approx. 58 Lacs & 20 Lac Invested in Equity in last 20 Years is now more than 5 Crores, even after taxation it comes out to be 4.5 Crores.
Guys just tell me one thing, If tomorrow Income Tax rate changes to 40% will u stop working/earning ???
I guess no !!!
So stop focusing on noise, Focus on creating a large base to Capture that 15-20% CAGR in coming years.
Tax tabhi dena hai jab Kamai hogi !!! So think Rationally n Stay on the Course to ur Financial Freedom.
Believe me ,
5 Crore ki jagah 4.5 Crore bhi milenge tax kaat ke to bhi you will be Financially Free. So Chill n keep Investing !!! ???