Tax sops, restoring indexation among Amfi Budget wish list

THE ASSOCIATION OF Mutual Funds in India (Amfi) has sought restoration of indexation for debt funds and granting capital gains tax exemptions for holding equity-oriented schemes for long-term in the Budget.

- FE BUREAU

It has submitted a total of 27 recommendations to the government.

For debt mutual funds held for more than 36 months, Amfi has asked to restore long-term capital gains with indexation, as it incentivises long-horizon, fixed-income saving; restores parity with other long-term assets and channels household savings to the corporate bond market. It has requested to introduce debt-linked savings scheme (DLSS) to help expand the bond market as the retail penetration in corporate bonds is low.