CGT collection declines to half at Rs 1.25 billion in two months
Summary
Government revenue from capital gains tax fell 54.42 percent to Rs 1.25 billion in the first two months of the current fiscal year, driven by a sharp drop in share transactions in the secondary market. The government recently cut CGT rates on share sales after the market continued to slide.
Key Points
- Government revenue from capital gains tax stood at Rs 1.25 billion in the first two months of the current fiscal year, down 54.42 percent year-on-year.
- The decline was linked to a steep fall in share transactions in the secondary market amid weak investor confidence.
- CDS and Clearing reported Rs 632.74 million in CGT collection last month, slightly higher than the previous month.
- The government recently reduced CGT rates on share transactions after the continued market downturn.
