Budget 2024: Reasons for Stock Market Crash after Budget Announcement

[{"selector":"#anim-8b09b88e-b4fe-450b-8223-7a1ae79d9351","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] By : 5paisa, 23 July 2024

The Stock Market Tumbled

[{"selector":"#anim-c0147148-a9b1-478a-8950-2067f46d5aa2","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-3a23df19-4784-455b-9e5c-e4ef8c0d1dd1","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d90f621f-ade2-48b7-977d-2e4e2286610d","keyframes":{"transform":["translate3d(0px, -331.45387%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-84cea29f-7dfd-4e42-a310-c1a81dd50b5d [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-792a50ff-2268-41c0-ac39-f8fad2e5146f","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2cd42ad8-5f34-4b04-b85d-dd9628625097","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6b562474-87dd-4709-9795-cad7034c758a","keyframes":{"transform":["translate3d(0px, -1417.4072%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] The stock market tumbled following the Union Budget announcement, with Sensex & Nifty plummeting due to the tax changes introduced.

S&P BSE Sensex Dropped

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Raised Taxes on Capital Gains

[{"selector":"#anim-df77ccfa-a9db-4efe-af10-569f520f1434 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-548c5123-c065-402d-a1c0-b6277dc7c63d","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-fe399ffc-5ca9-4e22-8e85-cebc1e870f86","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1e6ac914-4aeb-4738-a2f8-460762fc59fb","keyframes":{"transform":["translate3d(0px, -377.00704%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e4626165-fa1f-4547-a5a5-76fc304ba896","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-0990b3b4-aed1-41b8-be40-dbc12bd9a3dd","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b3e802ce-b81a-44e4-b932-4f5bf394b1f8","keyframes":{"transform":["translate3d(0px, -740.37022%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] FM Nirmala Sitharaman raised taxes on capital gains, notably increasing the LTCG tax from 10% to 12.5% and STCG tax from 15% to 20%.

Increase in the Rate of STT

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[{"selector":"#anim-bbfbf595-5c7c-4329-b280-bd0983c3fad2","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b1cc02f5-51b3-4075-9ba0-1a0da2fe90de","keyframes":{"transform":["translate3d(0px, 765.93807%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b3f5d98d-51a6-40a0-8af0-a6d7ab80f19d","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-805f1155-f004-438f-9056-ca20ae883fe3","keyframes":{"transform":["translate3d(0px, -571.63723%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e02c3bd4-3afa-4c1b-ba28-278bed7590fa [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Open Free Demat Account in just 5 Minutes! Start Investing Today Open Demat Account

Buyback of Shares Taxed

[{"selector":"#anim-8ec53a7a-f66f-48b8-9e86-add043070d0d [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-24.999998746112603%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-432415de-15c8-4f6a-bd97-5c271c9ad3e5","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-193011c7-b24e-4ae8-97c2-8ed7fcf08d6b","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-4b980860-59d3-489a-99b4-6ed78a4c3211","keyframes":{"transform":["translate3d(0px, -377.00704%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b338190b-a261-4698-acd6-dd029aff2d54","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a8536094-07d3-42ca-a57c-fd157b1c024d","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-fb257427-c9c8-48b6-adcd-c01ca810629e","keyframes":{"transform":["translate3d(0px, -1410.74043%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Nirmala Sitharaman announced that income from the buyback of shares will be taxed at the hands of the recipient.

[{"selector":"#anim-37bf728f-71ac-4c25-b642-8d800c23061f","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-deae3313-f34e-40ef-b7a5-5094a5a5b303","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-74ca5c75-d87b-4679-8398-be58dc94edf1","keyframes":{"transform":["translate3d(-119.72789%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ddb3723d-a07e-4518-911f-1887c9775184 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Read Next Budget 2024: The Revised Income Tax Slabs More Web-Stories

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