New Delhi, July 31: The Association of National Exchanges Members of India (ANMI) has called for tax reforms, including a reduction in Securities Transaction Tax (STT) or removal of Long-Term Capital Gains (LTCG) tax on equities, to encourage wider retail participation in India’s stock markets.
ANMI said a simpler and more investor-friendly tax framework could help reduce investment costs, improve market accessibility, and encourage more individuals to participate in equity markets.
The association highlighted that retail investors have emerged as a major force in India’s capital market growth. Lower transaction costs and supportive policies, it said, could promote long-term investing and strengthen household participation in wealth creation.
ANMI believes that balanced tax measures can help deepen the capital market, improve trading efficiency, and create a more inclusive investment ecosystem.
Industry experts said that reducing barriers for investors, along with stronger financial awareness and digital access, can help bring more people into formal investment channels.
The proposed measures are aimed at supporting sustainable market growth while encouraging greater participation from retail investors in India’s expanding financial landscape.