India – 2018 Developments for Foreign Investors

19 April 2018
View Debevosie Update
Key takeaways:
  • Although India’s central budget for 2018-19 places emphasis on the domestic audience as the country prepares for general elections in 2019, the budget contains several provisions that are important for foreign investors.
  • Long-term capital gains on the post-March 31, 2018 sale of listed securities held for more than one year are subject to a 10% tax rate. In addition, recent amendments to tax treaties make it more difficult for foreign investors to be exempt from the new tax.
  • The Indian government announced an increase in its allocations for the national defence budget and the Digital India programme, encouraging the development of robotics and artificial intelligence.