Archive · 6 Sep 2025
CBDT Extends Tax Breaks for Infrastructure Investment Until 2030
Imagine big investors from other countries want to invest in India's roads, buildings, and other important projects.
The government is giving them a special deal: they don't have to pay taxes on some of the money they make from these investments until 2030.
This helps bring in money for big projects, like building new offices or parks.
It also helps regular people because it encourages companies to invest in these sectors.
This is good because it makes more opportunities and gives the country a stable and long-term capital.
CBDT extended tax exemption for sovereign wealth and pension funds to invest in Indian infrastructure.
The extension, under Section 10(23FE) of the Income Tax Act, lasts until March 31, 2030.
The exemption applies to dividends, interest, and long-term capital gains.
The policy aims to attract foreign investment to finance infrastructure projects.
Retail investors can indirectly benefit through mutual funds, InvITs, and REITs.
- Who
- Central Board of Direct Taxes (CBDT)
- What
- Extended tax exemptions for sovereign wealth and pension funds.
- When
- Until March 31, 2030
- Where
- India
- Why
- To encourage long-term investment in infrastructure
- Tax Exemption Extension
- March 31, 2030
- Eligible Investors
- Sovereign wealth funds, pension funds
- Investment Sectors
- Indian infrastructure projects
- Exemption Covers
- Dividends, interest, long-term capital gains
- Original Scheme Start
- April 1, 2020
- 2022 Investments
- $6.712 billion (nearly doubled from the previous year)