Proposals in Finance Bill on debt mutual funds, STT likely to adversely impact market: Experts orissapost.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from orissapost.com Daily Mail and Mail on Sunday newspapers.
The changes proposed in the Finance Bill 2023 with respect to securities transaction tax and taxation of debt mutual funds are likely to have an adverse impact on the market. according to experts.
The bill, which gives effect to taxation proposals for 2023-24, passed by Lok Sabha on Friday. The government had moved 64 official amendments to the bill.
The government on Friday proposed hiking the securities transaction tax on Futures & Options (F&O) contracts, a move that will increase the trading costs in the derivatives segment as well as help in curbing excessive trades.
In the Finance Bill 2023, passed by the Lok Sabha on Friday, the Securities Transaction Tax (STT) on options is proposed to be increased to 0.0625 per cent from 0.05 per cent and on futures contracts to 0.0125 from 0.01 per cent.
Analysts opined that higher STT will shore up the government s revenues to some extent and also discourage excessive trading since a large number of retail traders are losing money in the segment.
Global economic prospects have shown a significant deceleration for the year 2023 as 94 economies are expected to grow below the pre-pandemic level of 2019, showed an analysis conducted by industry body PHD Chamber of Commerce and Industry s (PHDCCI) research bureau.
Get latest articles and stories on Business at LatestLY. The analysis by PHDCCI was based on the IMF database on the GDP growth of the countries according to their GDP growth rates for 2019, 2020, 2021, and 2022 and the projections for 2023. Business News | India, Japan Growing Above Pre-pandemic Levels Among Top 10 Economies: PHDCCI Report.