SBI Research outlines a set of proposed reforms to India’s long-term capital gains (LTCG) tax, including a zero-tax outcome after a specified holding period and a higher exemption limit. The reports say SBI estimates the change would lead to a revenue shortfall of roughly ₹40,000–50,000 crore in FY28, equivalent to about 0.1–0.2% of GDP.
The coverage frames the proposal as something the government could absorb within its fiscal position. While the suggested approach centers on changing how LTCG is taxed for longer holding periods, the reports also mention related measures such as adjusting Securities Transaction Tax and offering a mix of rate and exemption-related changes.
Across outlets, the core points are consistent: SBI Research is the source, the reform package targets LTCG treatment, and the projected FY28 revenue impact is in the same range. Differences mainly relate to how many reform elements are emphasized and how the “fiscal headroom” or “accommodation within the fiscal framework” is described.
