Exclusive: FM Nirmala Sitharaman Replies To Tough Questions On Why She Raised Tax

At the #BudgetRoundTable2024 conference, Rahul Kanwal, Executive Director, Business Today; Sourav Majumdar, Editor, Business Today and Siddharth Zarabi, Managing Editor, BTTV engaged in an insightful conversation with Finance Minister Nirmala Sitharaman. The discussion focused on the recent tax hikes on various asset classes, including stocks, futures and options (F&Os), and the indexation of real estate. FM Sitharaman explained that the tax increases are minimal and aimed at rationalizing the tax system across different asset classes. She emphasized that measures such as indexation in the real estate sector were taken to ensure fair treatment across asset classes. FM Sitharaman assured that tax simplification remains a priority despite new changes, highlighting the GST's role in streamlining the tax structure nationwide. She clarified the hikes from 10% to 12.5% on stocks are not intended to boost government revenue but to achieve a more balanced tax framework. The government's aim is to maintain stability while simplifying taxes for broader economic equity.