PHDCCI Urges Government to Scrap Equity LTCG Tax in Budget Proposals

The PHD Chamber of Commerce and Industry has officially urged the government to abolish long-term capital gains tax on equity investments for the Union Budget 2027-28. The industry body also proposed reducing the short-term capital gains tax rate from 20 per cent to 10 per cent to boost capital market participation. During a pre-Budget meeting with Union Finance Minister Nirmala Sitharaman, <b>the chamber</b> submitted comprehensive recommendations to encourage investments and improve financial access. Current norms tax long-term gains exceeding Rs 1.25 lakh at 12.5 per cent, while short-term gains face a 20 per cent tax rate. <b>The industrial body</b> further recommended relaxing loan repayment norms for micro, small and medium enterprises by extending the overdue period for non-performing assets from 90 to 180 days.