Rajiv Gandhi Equity Saving Scheme

POSTED BY VG ON December 22, 2012 10:34 pm COMMENTS (4)

I opened my Demat a/c in July 2012 and purchased few shares of SAIL (falling under BSE100) in October 2012.

I wish to take benefit under ‘Rajiv Gandhi Equity Saving Scheme’ (80CCG). My confusion is that I have  read that only those who have opened their Demat a/c after notification of this scheme are eligible to get benefit. I am not very sure if the Notification date is in Nov 2012, or is it the date when the scheme was announced in the Budget.

So based on above a/c opening details, am I eligible for it?  If the above SAIL transaction is not eligible, is it possible to now make new transactions which will be eligible? Why?

Thanks in advance.

4 replies on this article “Rajiv Gandhi Equity Saving Scheme”

  1. Vaibhav Goyal says:

    Thanks for that! The notification date was my only confusion, its cleared now.

    So as I suspected, am not eligible for it since I have opened a Demat a/c before 23 Nov, and have also transacted in it (though only once).

  2. Point taken.

    The guidlines are easy enough to get hold of
    http://www.sebi.gov.in/cms/sebi_data/attachdocs/1354798515651.pdf

    Acc this the scheme comes into effect from the date of notification Nov. 23 2012 as you suspected.

    and
    “new retail investor” means the following resident individuals:-
    (a) any individual who has not opened a demat account and has not made any transactions in the derivative segment as on the date of notification of the Scheme;
    (b) any individual who has opened a demat account before the notification of the Scheme but has not made any transactions in the equity segment or the derivative segment till the date of notification of the Scheme,
    and any individual who is not the first account holder of an existing joint demat account shall be deemed to have not opened a demat account for the purposes of this Scheme

  3. Vaibhav Goyal says:

    Thanks for your response. The article link that you gave above is dated July’12.

    The picture has become more clear now, because SEBI has recently (i think just a couple of weeks back) come out with the guidelines for RGESS. Based on that, the a/c opening date looks to be relevant.

    Can someone who has referred to these guidelines please advise?

  4. Definition of ‘new retail investor; does not seem to be clear

    See this:
    http://www.caclubindia.com/articles/rajiv-gandhi-equity-saving-scheme-sec-80ccg-14281.asp#.UNXsXa5lwfw

    If you avail tax benefits from this scheme for the first time them you are a new investor. Demat acc opening date may not be relevant, Same should go for past trasactions

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Download Our FREE Ebook!

Available only for first 100 people today

Download Our FREE Ebook!

Available only for first 100 people today