Rajiv Gandhi Equity Scheme

Rajiv Gandhi Equity Savings Scheme was notified on 23rd November, 2012 under Section 80 CCG of Income Tax Act, 1961. The Scheme is designed exclusively for the first time retail individual investors in securities market, who invest upto ₹ 50,000 in a year. The investor would get a 50% deduction of the amount invested from the taxable income for that year to the extent that such deduction does not exceed twenty-five thousand rupees.

The scope of the scheme was enlarged by increasing the income ceiling of the beneficiaries to ₹ 12 lakh in the year 2013-14 from ₹ 10 lakh in 2012-13 and by allowing deduction under the scheme for three consecutive assessment years.

This information was given by the Union Minister of Finance, Shri Arun Jaitley in written reply to a question in Lok Sabha.