Govt's reform push: Business income may also see surcharge relief

Some investors on Friday said they feared taxation on business income will continue at 42.7 per cent, following the initial announcement.

Taxes had risen for foreign portfolio investors (FPIs) and others following surcharges introduced in the Budget.  

The exemption from the surcharge, mentioned during the announcements on government measures to revive the economy on Friday, applied only to capital gains tax, experts had noted.

“FPIs having business income will still be affected. Also it has to be noted that this surcharge goes only for capital gains generated on listed shares and not on unlisted shares,” said Amit Maheshwari, partner, Ashok Maheshwary & Associates.