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NITI Aayog's Ashok Lahiri Urges Balance in LTCG Tax Debate
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CNBC TV18•16-10-2026, 20:15
NITI Aayog's Ashok Lahiri Urges Balance in LTCG Tax Debate
- •NITI Aayog Vice-Chairperson Ashok Lahiri emphasized that the debate over long-term capital gains tax must carefully balance equity and economic efficiency.
- •Lahiri declined to give a knee-jerk reaction on whether tax rules should change, supporting Finance Minister Nirmala Sitharaman's decision to evaluate stakeholder views.
- •The discussion follows Sitharaman's remarks indicating openness to feedback on LTCG tax and securities transaction tax ahead of the Union Budget for 2027-28.
- •Current regulations tax long-term capital gains on listed equity shares and mutual funds at 12.5% for gains exceeding 1.25 lakh rupees per financial year.
- •Ashok Lahiri is a seasoned economist and former Chief Economic Adviser who took charge as NITI Aayog vice-chairperson in 2026.
Key Questions Answered
Under current rules, long-term capital gains on specified listed equity shares and equity-oriented mutual funds are taxed at 12.5% on gains exceeding ₹1.25 lakh in a financial year, following an increase from the previous 10% rate and ₹1 lakh threshold in the Union Budget 2024.
Ashok Lahiri stated that policymakers must balance equity and economic efficiency when discussing the long-term capital gains tax, while noting that Finance Minister Nirmala Sitharaman was right to consider stakeholder views without giving a knee-jerk policy reaction.
Ashok Kumar Lahiri took charge as the Vice Chairman of NITI Aayog on May 8, 2026, succeeding Suman Bery after being appointed to the premier policy think tank.
