Stock Market Records Remarkable 262% Surge in Capital Gains Tax for the Month of Mangsir

In a striking development, the capital gains tax from the stock market witnessed an impressive spike, surging by over 262% in the month of Mangsir compared to the previous month of Kartik. The government collected a notable Rs 30.53 crore in capital gains tax during Mangsir, reflecting a substantial increase from the Rs 8.41 crore raised in Kartik, marking a significant rise of 262.81%.

Analyzing the data further reveals that short-term investors reaped the most benefits during Mangsir, contributing significantly to the surge in capital gains tax. Short-term investors alone paid Rs 14.14 crore in Mangsir, a notable increase from the Rs 4.60 crore paid in Kartik. Long-term investors followed suit, paying the second-highest amount of profit tax, totaling Rs 9.24 crore in Mangsir compared to the Rs 2.69 crore paid in Kartik. Institutional investors, although trailing behind, still made a substantial contribution of Rs 7.14 crore in Mangsir, compared to their Rs 1.11 crore contribution in Kartik.

The government imposes a tax on the profit generated from buying and selling shares in the secondary market. Individual investors are subject to a 7.5% tax rate, while long-term transactions enjoy a reduced rate of 5%.

This remarkable increase in capital gains tax signifies a dynamic and robust performance in the stock market, with short-term investors leading the way in contributing to the government's revenue.