India Withdraws Enhanced Surcharge Tax on Capital Assets

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December 13, 2019 TO: ICI Members
ICI Global Members
Accounting/Treasurers Committee
ICI Global Tax Committee
Tax Committee SUBJECTS: Fund Accounting & Financial Reporting
International/Global
Tax RE: India Withdraws Enhanced Surcharge Tax on Capital Assets

 

On December 12, 2019, India officially amended the Indian Income-tax Act, 1961 and the Finance (No. 2) Act, 2019 to provide that the enhanced surcharge tax does not apply to capital gains arising on a sale of any security, including derivatives, in the hands of Foreign Portfolio Investors (FPIs).[1]  

The enhanced surcharge tax continues to apply to certain categories of income for which ICI Global has requested additional guidance.[2]  

 

Katie Sunderland
Assistant General Counsel

 

Attachment

endnotes

[1] See Institute Memorandum 31976, dated September 20, 2019.

[2] See Institute Memorandum 32097, dated December 13, 2019.