F&O Taxes & Buyback Bonanza

The recent budget has shaken things up for Indian investors and companies. Let's break down two key changes:

• STT on F&O Trading Goes Up: Get ready for higher costs! Options trading will see a jump from 21% to 31%, while futures trading goes from 39% to a hefty 50%. This kicks in from October 1st.
• Buybacks Get Taxed: The party's over for tax-free buybacks. The New Regime taxes buybacks just like dividends, meaning companies have to consider tax implications.

What does this mean?

• Expect a shift in how companies distribute their profits.
• IT companies with major promoter holdings could be particularly impacted by the buyback tax change.
• Dividend payouts may decrease as companies adjust to the new tax rules.

For more details, watch the full video.