Tax rate and concession reforms reshape capital gains, deductions, perquisite caps and recovery frameworks. The Finance (No. 2) Act, 1971 implements broad fiscal reforms: revised income-tax and withholding rates and surcharge rules; increased taxation of long-term capital gains and reduced priority-industry deductions; restructuring of long-term savings and specified financial-asset exemptions; expanded and audited tax concessions for technical services and royalties with narrowed dividend reliefs; caps on deductible salaries, perquisites and director benefits; withdrawal or time-limited development rebates; harmonisation of firm taxation; strengthened recovery via Tax Recovery Commissioners; and wealth- and gift-tax changes including aggregation of transferred assets and treatment of conversions into joint family property as transfers or gifts.