Overseas funds making investments into India directly from home countries

Equity investments on or after April 1, 2019 will be taxed 10% for investments greater than one year, and at 15% for those below a year

Overseas funds investing in India from Mauritius and Singapore are either winding down or stopping fresh investments from the regions, in favour of home countries such as the US and the UK or even regions such as the Cayman Islands, Ireland, and Luxembourg. 

India had renegotiated its tax treaties with Mauritius and Singapore in 2016.  Based on the new arrangement, Indian equities acquired prior to April 1, 2017, were grandfathered and granted capital gains tax exemption. Shares acquired on or after this period, and sold before April 1, 2019, had to pay concessional tax at 50 per cent of the domestic