Wanted to ask reg. tax implications of buyback. Some say that buybacks are tax-free in the hands of the investor, while others say stcg of 15% is liable (Haven't heard people say if LTCG is applicable). Which one's correct?
This article in the economic times https://economictimes.indiatimes.com/budget-faqs/what-is-buyback-tax-why-are-experts-calling-for-its-abolition/articleshow/89236772.cms is wrong, then?
An added positive is that you will not be taxed on the capital gains since it is a tender offer- as per value research online
1.5. Vibhor Saxena|| Link|May 30, 2022 11:00:36 AM
@Wannable Value Investor Don't worry it is completely tax free as we are opting for tender route company itself is paying taxes at 23.296% that is why exempt for shareholders if someone is saying it will be taxable under Capital Gain They do not have any knowledge of taxation