Finance Bill 2023 passed in Rajya Sabha

Amid the opposition’s demand of a JPC probe in the Adani issue, the Rajya Sabha passed the Finance Bill and The Jammu and Kashmir Appropriation (No 2) Bill, 2023 on Monday.

The Rajya Sabha declared that the Bill had been “considered and returned.”

In the midst of opposition chanting, the Lok Sabha last week passed the Bill.

The Consolidated Fund of India will be used to pay and appropriate specific amounts under the terms of the bill.

Without further discussion, both Bills were sent back to the Lok Sabha, and the House then broke for the day.

There are up to 75 amendments in the Finance Bill 2023, which was approved by voice vote in the Lok Sabha on Friday. Among the most significant are increases in the securities transaction tax (STT) on options and futures of 23.5% and 25%, respectively.

Due to this, those who trade in futures and options (F&O) will have to pay a higher STT.

As a result of the government’s intention to tax F&O traders more heavily due to the large turnover of these transactions, the move could potentially deter F&O traders.

Additionally, the Finance Bill has undergone a modification that deprives debt mutual funds of their long-term advantages.

If they invest less than 35% of their assets in equities, debt mutual funds have lost their long-term tax benefit, according to the legislation.