The government has expanded the network of the Capital Gains Account Scheme. Now, the Capital Gains Account Scheme will be offered not just by a few banks, but by many banks nationwide, meaning that people can easily open a capital gains account at many banks across the country.
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When a person sells any property, the profit earned is called a capital gain. This capital gain is taxable. To avoid this tax, people deposit their money in a capital gains account scheme. Opening a capital gains account has become even more convenient. The government has expanded the network of capital gains accounts. Now, the capital gains account scheme will be offered not just by a few banks, but by many banks across the country. This means that people can easily open a capital gains account at many banks across the country.
These 19 Banks Will Offer the Capital Gains Account Scheme
Previously, only a few government banks, such as SBI, BOB, and IDBI Bank, offered the capital gains account scheme, or CGAS. Now, CGAS will be offered by a total of 19 banks across the country, including these banks.
- HDFC Bank
- ICICI Bank
- Axis Bank
- City Union Bank
- DCB Bank
- IDFC First Bank
- IndusInd Bank
- Jammu & Kashmir Bank
- Karnataka Bank
- Karur Vysya Bank
- Kotak Mahindra Bank
- RBL Bank
- South Indian Bank
- Yes Bank
- Dhanlaxmi Bank
- Bandhan Bank
- CSB Bank
- Tamil Nadu Mercantile Bank
This facility will only be available at non-rural branches with a population of more than 10,000. Private banks offering CGAS will provide greater convenience to individuals. Furthermore, some changes have been made to tax rules, simplifying the definition of long-term. The tax rate has now been reduced from 20 percent to 12.5 percent.
What are the benefits of the Capital Gains Account Scheme?
The Capital Gains Account Scheme can save you lakhs of rupees in taxes. You don’t have to rush to buy another property after selling one. This allows you to take your time and make informed decisions.
To illustrate, if you sell your property and keep the proceeds in your account, you’ll have to pay significant taxes. However, if you keep this amount in a capital gains account scheme, you won’t have to pay taxes. This also gives you time to decide where to invest the money.
