Finance Minister P Chidambaram will launch the much-awaited Rajiv Gandhi Equity Savings Scheme (RGESS) in Mumbai on Saturday, a move likely to encourage new investors to put their money in the stock market.
'He (Chidambaram) will formally launch the Rajiv Gandhi Equity Savings Scheme in Mumbai on Saturday,' sources said. The scheme, which was announced in the Budget for 2012-13, seeks to provide tax benefits to first-time investors in stock market.
Under the scheme, an individual with an income of less than Rs 10 lakh would get tax incentives for investing up to Rs 50,000 in the stock market.
As per the notification issued by the Securities and Exchange Board of India (Sebi) on RGESS, there would be a lock-in period of one year on investments made under the scheme. Besides, Chidambaram will also inaugurate the equity trading platform of MCX-Stock Exchange (MCX-SX). However, the exchange would commence live trading in equities from 11 February. MCX-SX is providing trading platform for currency derivatives segment at present and would become a full-fledged stock exchange after the launch of other segments like equity, equity derivatives, bonds and interest rate derivatives.
'He (Chidambaram) will formally launch the Rajiv Gandhi Equity Savings Scheme in Mumbai on Saturday,' sources said. The scheme, which was announced in the Budget for 2012-13, seeks to provide tax benefits to first-time investors in stock market.
Under the scheme, an individual with an income of less than Rs 10 lakh would get tax incentives for investing up to Rs 50,000 in the stock market.
As per the notification issued by the Securities and Exchange Board of India (Sebi) on RGESS, there would be a lock-in period of one year on investments made under the scheme. Besides, Chidambaram will also inaugurate the equity trading platform of MCX-Stock Exchange (MCX-SX). However, the exchange would commence live trading in equities from 11 February. MCX-SX is providing trading platform for currency derivatives segment at present and would become a full-fledged stock exchange after the launch of other segments like equity, equity derivatives, bonds and interest rate derivatives.