<h1>10% Tax Proposed on Long-Term Capital Gains Over Rs. 1 Lakh; Mutual Funds Income Also Targeted in 2018-19 Budget.</h1> The Union Finance and Corporate Affairs Minister proposed a 10% tax on long-term capital gains exceeding Rs. 1 lakh, without indexation benefits, in the 2018-19 General Budget. Gains up to January 31, 2018, will be grandfathered. Additionally, a 10% tax on distributed income by equity-oriented mutual funds was suggested to level the playing field. The changes aim to generate a revenue gain of about Rs. 20,000 crores in the first year. Currently, long-term capital gains from listed equities are exempt, but the buoyant equity market and substantial exempted gains justify bringing these gains into the tax net.