Financial Repression Tracker

Rules that steer savings into government debt or hold returns below inflation, country by country.

Steer · Tax incentives

Capital-gains exemptions for government securities

What it is
Exempt disposal or redemption gains on government obligations while gains on competing assets remain taxable. Relief may depend on holding to redemption.
Why it counts
The tax advantage increases demand for state liabilities and can substitute a sovereign claim for privately held inflation hedges.

When it was in force

  • United Kingdom: 1986 → now, in force
  • India: 2017, historical; its end is not documented

2 examples

  1. United Kingdom

    1986 → nowIn force

    Disposals of qualifying gilts are exempt from capital gains tax.

    Taxation of Chargeable Gains Act 1992, section 115(1)(a)Primary source
    “Since 2 July 1986 all disposals of gilt-edged securities have been exempt from Capital Gains Tax”

    gov.uk (opens in a new tab)Checked: quote matched on the page by script

    United Kingdom today: index 44.4

  2. India

    2017Historical

    Its end is not documented · As cited: Inserted by Finance Bill 2016, effective 1 April 2017

    Redemption of RBI-issued Sovereign Gold Bonds was excluded from taxable transfers for qualifying individual holders.

    Income-tax Act 1961, section 47(viic), Sovereign Gold BondsPrimary source
    “(viic) any transfer of Sovereign Gold Bond issued by the Reserve Bank of India under the Sovereign Gold Bond Scheme, 2015, by way of redemption, by an assessee being an individual;”

    indiabudget.gov.in (opens in a new tab)Checked: quote confirmed on the page by a reviewing agent

    India today: index 60.6

Examples and their dates reviewed .