Govt slashes capital gains tax for PE investors

India will slash the tax on long-term capital gains for private-equity investors to 10% from 20%, a finance ministry statement said on Monday.

India will also exempt long-term capital gains on the sale of unlisted securities in initial public offerings from tax, the statement said. New Delhi also proposes to levy a 0.2% security transaction tax on the sale of unlisted securities.

Earlier on Monday, India deferred by one year the introduction of measures to crack down on tax evasion, responding to concern among foreign investors that has led to an exodus of funds.