S&P 500 or Nasdaq 100? Best ETFs for Investing in the US Stock Market

In the last 12 months, the Nifty 50 has declined by about 7%, while the S&P 500 has surged nearly 24%. Additionally, the Indian Rupee’s depreciation against the US Dollar has boosted returns for Indian investors investing in US stocks.

A great way to invest in the US market from India is through Exchange-Traded Funds (ETFs). These funds offer a mix of index fund benefits and stock trading flexibility, allowing investors to track major indices at lower costs.

ETFs for Exposure to the US Market

S&P 500 Index ETF

The S&P 500 index tracks the top 500 US companies, covering nearly 80% of the US stock market. Investing in an S&P 500 ETF provides a low-cost, highly liquid way to diversify with large US stocks instead of picking individual companies.

Top stocks in S&P 500: Apple, NVIDIA, Microsoft, Amazon, Meta, Alphabet, Tesla, and Berkshire Hathaway.

Some popular S&P 500 ETFs with low expenses and good returns include:

  • SPDR S&P 500 ETF Trust (SPY)
  • Vanguard S&P 500 ETF (VOO)
  • iShares Core S&P 500 ETF (IVV)
  • SPDR Portfolio S&P 500 ETF (SPLG)
  • Invesco S&P 500 Equal Weight ETF (RSP)

The SPDR S&P 500 ETF (SPY) is the world’s oldest and largest ETF, with an expense ratio of just 0.0945%, making it an attractive long-term investment.

Nasdaq 100 ETF

The Nasdaq 100 is the top benchmark index for tech stocks, including major global tech giants such as Nvidia, Apple, Amazon, Meta (Facebook), Alphabet (Google), and Tesla.

Investors can gain exposure to these tech stocks through the Invesco QQQ ETF, which has an annual expense ratio of 0.20%. This ETF is ideal for those looking to invest in global technology leaders.

Dow Jones Industrial Average (DJIA) ETF

The DJIA (Dow Jones Industrial Average), or Dow 30, represents 30 leading US companies and is a key indicator of the US economy and consumer trends.

The SPDR Dow Jones Industrial Average ETF Trust (DIA) allows investors to replicate the Dow’s performance, making it a solid choice for those looking to invest in established US companies.

Why Consider US ETFs?

Diversification is important for any investment strategy, especially in global markets. The US economy remains the world’s largest, and investing in ETFs allows investors to benefit from its growth.

Before investing in ETFs, it’s important to check factors such as:

  •  Expense Ratio
  •  Long-term Performance
  •  Liquidity
  •  Tracking Error
  •  Price-to-NAV Difference
  •  Dividend Yield

By carefully selecting ETFs, investors can gain exposure to the US stock market with lower costs and reduced risk while benefiting from global economic trends.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

 

Nestlé to Launch Starbucks Ready-to-Drink Coffee in India

Nestlé S.A., the world’s largest coffee company, is considering launching Starbucks-branded ready-to-drink (RTD) coffee in India’s retail market, as per a report. This move is part of Nestlé’s global partnership with Starbucks Corporation, allowing it to sell Starbucks’ packaged coffee and beverages outside of its cafes.

Axel Touzet, head of Nestlé’s Coffee Strategic Business Unit, stated that the company is continuously looking for opportunities to expand its coffee portfolio in India. He highlighted the rising coffee consumption trend in the country and Nestlé’s efforts to cater to different coffee moments for Indian consumers.

Expansion of the Nestlé-Starbucks Partnership

In 2018, Nestlé and Starbucks signed a global agreement that gave Nestlé the right to sell Starbucks’ packaged coffee and food service products in retail stores worldwide. Later, the partnership expanded to include RTD coffee products like Starbucks Frappuccinos and Doubleshots in Southeast Asia, Oceania, and Latin America. Now, Nestlé is considering a similar launch in India.

Rising Coffee Consumption in India

Though India has traditionally been a tea-drinking nation, coffee consumption is increasing, particularly in urban areas. Nestlé’s Nescafé brand has introduced coffee to over 30 million Indian households, while Starbucks has expanded its presence through a joint venture with Tata, operating over 470 stores in India. In FY24, Starbucks-Tata recorded a revenue of ₹1,218.06 crore, reflecting a 12% growth from the previous year.

India’s Coffee Market: A Key Growth Area

India remains a crucial market for Nestlé’s coffee business. In the December 2023 quarter, the company’s powdered and liquid beverages segment contributed the most to its growth, with retail sales surpassing ₹2,000 crore in the past year. Nestlé recently introduced its premium coffee brand, Nespresso, in India, targeting the rising demand for high-quality coffee products.

A report by ResearchAndMarkets.com projects that the global RTD tea and coffee market will grow from $107.18 billion in 2023 to $197.4 billion by 2032. The Asia-Pacific region is leading this trend, with India emerging as a key market.

What’s Next?

Nestlé has not yet announced a launch date for Starbucks RTD coffee in India but sees significant potential in the market. Touzet emphasised that India is a strategic focus for Nestlé, and distributing Starbucks coffee outside cafes is a vital part of their expansion plans.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

IRB Infra Declares ₹0.10 Interim Dividend; Record Date on February 6

IRB Infrastructure declared a third interim dividend of ₹0.10 per equity share (10% of the face value of ₹1 each) for FY25. The record date for dividend payment is February 6, 2025, and eligible shareholders will receive payments by March 1, 2025. This brings the total dividend payout for the first nine months of FY25 to ₹181.1 crore.

Understanding the Ex-Date and Record Date

The ex-date is when a company’s stock starts trading without eligibility for dividends or stock splits. To receive these benefits, investors must purchase the stock before this date. The final list of eligible shareholders is determined at the end of the record date.

Financial Highlights

IRB Infrastructure Developers Ltd reported a 2.9% year-on-year (YoY) increase in revenue for Q3FY25, reaching ₹2,025.4 crore. In the same quarter last year, the company’s revenue stood at ₹1,968.5 crore. The company’s EBITDA grew by 13.2% to ₹984.1 crore in Q3FY25, compared to ₹869.2 crore in Q3FY24. The EBITDA margin also improved, rising to 48.6% from 44.2% in the previous year’s quarter.

About IRB Infrastructure Developers Ltd

IRB Infrastructure Developers is an Indian company specialising in infrastructure development and construction. It has vast experience in building roads and highways. The company is also involved in other areas of infrastructure, such as road maintenance, construction projects, airport development, and real estate.

As of February 5, 11:21 AM IST, IRB Infrastructure Developers share price is trading at ₹54.53, up ₹0.27 (0.50%) for the day. The stock opened at ₹54.30, reached a high of ₹55.15, and touched a low of ₹54.15. Over the past year, it recorded a 52-week high of ₹78.15 and a 52-week low of ₹45.06. The company’s market capitalisation stands at ₹33,000 crore, with a P/E ratio of 5.10 and a dividend yield of 0.69%.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

 

Asian Paints Share Price Drops as Q3 FY25 Net Profit Falls 23.3% to ₹1,110 Crore

Asian Paints reported a 23.3% drop in net profit for Q3FY25, bringing it down to ₹1,110 crore. The company’s net sales fell 6.1% year-on-year to ₹8,522 crore, mainly due to weak demand, downtrading, and a lackluster festive season.

Performance Across Business Segments

  • Decorative Paints (India): Volumes grew 1.6%, but overall sales declined due to sluggish urban demand.
  • Industrial Business: Grew 3.8%, driven by general industrial and refinish segments.
  • International Business: Revenue increased 5% in rupee terms and 17.1% on a constant currency basis, led by strong growth in the Middle East and improving economic conditions in key Asian markets.
  • Home Decor: Benefited from network expansion efforts.

Drop in PBIDT and Operating Margins

The company’s Profit Before Interest, Depreciation, and Tax (PBIDT) fell 18.4% to ₹1,830 crore. Operating margins were affected by higher sales and distribution costs and an unfavourable product mix, despite some sequential improvement.

Management’s View on Demand and Future Plans

CEO & MD Amit Syngle noted that weak urban demand led to a 6.6% decline in the overall coatings business in India. He added that while domestic decorative paint volumes grew 1.6%, revenue declined 7.5% due to weak festive demand.

Looking ahead, the company remains cautiously optimistic about demand recovery and will continue investing in its brand, innovation, and customer-focused initiatives.

About Asian Paints Ltd

Asian Paints Ltd is an Indian multinational company based in Mumbai. It specialises in manufacturing, selling, and distributing paints, coatings, and home décor products, including bath fittings, while also offering related services.

As of February 5, 11:04 AM IST, Asian Paints share price is trading at ₹2,267.90, down ₹86.45 (3.67%) for the day. The stock opened at ₹2,269.00, reached a high of ₹2,276.45, and touched a low of ₹2,237.25. Over the past year, the stock hit a 52-week high of ₹3,394.90 and a 52-week low of ₹2,207.80.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

 

Tata Power Share Price Rises Over 2% After Q3 FY25 Net Profit Climbs 8%

Tata Power reported an 8.2% increase in its consolidated net profit for Q3FY25, reaching ₹1,030.7 crore, compared to ₹953 crore in the same quarter last year. This rise was driven by improved business performance.

Revenue and PBDIT Performance

  • Revenue grew 5% year-on-year to ₹15,391.1 crore.
  • Profit Before Depreciation, Interest, and Tax (PBDIT) saw an 81% jump to ₹3,667.6 crore.
  • Sequentially, net profit rose 11%, while revenue declined 2%.

CEO’s Comments on Growth

Praveer Sinha, CEO & MD of Tata Power, highlighted that the company has maintained a consistent profit growth for 21 quarters and credited contributions from all business segments.

Sinha acknowledged the Budget 2025 announcement on small modular reactors (SMRs) as a positive step. Tata Power is keen to explore opportunities in this space but awaits further clarity.

Capital Expenditure Plans

Tata Power has a ₹60,000 crore capex plan for upcoming years. Key investments include:

  • ₹12,000 crore spent in FY24
  • ₹22,000 crore planned for FY25
  • ₹22,000 crore set aside for FY26

Hydropower Expansion in Bhutan

Tata Power is considering another hydropower project in Bhutan but has not disclosed details. In November 2024, the company announced a strategic partnership with Druk Green Power Corporation Ltd (DGPC) to develop at least 5,000 MW of clean energy capacity in Bhutan.

About Tata Power Company Ltd

Tata Power Company Ltd generates, transmits, and distributes electricity. It focuses on producing power entirely from renewable sources. The company also makes solar roofs and aims to set up 1 lakh EV charging stations by 2025. The company is India’s largest integrated power company.

As of February 5, 10:47 AM IST, Tata Power share price is trading at ₹368.95, up ₹6.90 (1.91%) for the day. The stock opened at ₹366.45, reached a high of ₹375.00, and touched a low of ₹362.50.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Budget 2025: Filing Updated Tax Returns Now Allowed for 4 Years: Key Points to Know

The government has extended the time limit for filing updated tax returns from 2 years to 4 years, allowing taxpayers more flexibility to correct errors in their filings.

What is an Updated Tax Return?

The updated return facility, introduced in 2022, lets taxpayers voluntarily correct mistakes or omissions in their original or belated tax returns. This initiative is based on trust in taxpayers, and so far, nearly 9 million people have used it to report accurate incomes.

New Changes in Budget 2025

Finance Minister Nirmala Sitharaman, in her Budget 2025 speech, announced an extension of the deadline for filing updated returns from 2 years to 4 years. The Finance Bill 2025 amends Section 139(8A) of the Income Tax Act, 1961, increasing the time window for updating returns to 48 months from the relevant assessment year.

Higher Additional Tax for Late Filings

Though taxpayers now get extra time, filing an updated return after 24 months comes with higher additional tax rates:

  • 60% additional tax for returns filed between 24-36 months.
  • 70% additional tax for returns filed between 36-48 months.

If a taxpayer receives a Section 148A show-cause notice after 36 months, they may be barred from filing a belated return unless the tax authorities allow it.

When Can You File an Updated Return?

Taxpayers can submit an updated return in cases such as:

  • Missing the due date for filing a return.
  • Incorrect declaration of income.
  • Selecting the wrong head of income.
  • Paying tax at the wrong rate.
  • Reducing carried-forward losses.
  • Reducing unabsorbed depreciation.
  • Adjusting tax credit under Sections 115JB/115JC.

Why You Should File Early

Experts advise taxpayers not to wait for the full 4-year period to update their returns. The longer you delay, the higher the penalty in the form of additional tax and interest. Filing early will help reduce extra costs and avoid compliance risks.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Budget 2025: EPF and NPS – Big Tax Savings for Salaried Individuals

Finance Minister Nirmala Sitharaman has introduced tax benefits in Budget 2025, bringing relief to the middle class. The rebate limit under the New Tax Regime (NTR) has been increased from ₹7 lakh to ₹12 lakh, along with revised tax slabs that benefit higher-income earners. Now, individuals earning up to ₹12 lakh annually will not have to pay any tax after factoring in the Standard Deduction of ₹75,000 and the revised tax rebate of ₹60,000.

However, to maximise tax savings, employees must continue investing in the Employees’ Provident Fund (EPF) and National Pension System (NPS). Here’s how these schemes help reduce tax liability:

National Pension System (NPS)

Salaried individuals can earn up to ₹13.7 lakh tax-free per year—higher than the ₹12 lakh limit for others—thanks to NPS benefits. The key change in Budget 2025 is the increase in tax deduction under Section 80CCD(2). Employees can now claim a deduction of up to 14% of their basic salary on NPS contributions, up from 10% in the Old Tax Regime.

For example, an individual earning ₹13.7 lakh annually with a basic salary of ₹6.85 lakh can invest 14% of their basic pay in NPS, amounting to ₹95,900. Along with the standard deduction of ₹75,000, their taxable income becomes zero.

This benefit, however, applies only if the employer includes NPS in the salary package. Employees cannot choose this deduction separately.

Additional Benefits of NPS:

  • Flexible asset allocation and fund switching without tax implications.
  • The lowest fund management fees are 0.09% per year, compared to 1-1.5% for mutual funds.
  • Historically, NPS funds have outperformed mutual funds in the same category.

Employees’ Provident Fund (EPF)

For salaried employees, EPF is a great way to save for retirement, provided they do not withdraw funds prematurely when switching jobs. Those with a basic salary of ₹15,000 or more have the option to not enroll in EPF when joining a company. However, once enrolled, opting out is not allowed during employment.

Key Benefits of EPF:

  • Guaranteed returns with an attractive 8.25% interest rate.
  • Employees can voluntarily contribute more through the Voluntary Provident Fund (VPF), earning the same interest rate.
  • EPF withdrawals after retirement remain tax-free.

EPF and Taxation Under the New Tax Regime

While EPF is partially EEE (Exempt-Exempt-Exempt) under the new regime, employee contributions no longer qualify for tax deductions. However, the following tax benefits still apply:

  • Employer contributions up to 12% of salary remain tax-free.
  • The combined employer contribution to PF and NPS is tax-free, up to ₹7.5 lakh per year.
  • Returns on employee contributions beyond ₹2.5 lakh per year are taxable.

By strategically investing in NPS and EPF, salaried individuals can reduce tax liability while building a strong retirement corpus.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Best Monopoly Stocks in India February 2025 – 5-yr CAGR Basis: HAL, BHEL, IRCTC and More

Monopoly stocks are shares of companies that have a strong hold over their industries with little to no competition. These companies usually have a large market share, strong brand value, and pricing power. A well-known example is the Indian Railways Catering and Tourism Corporation (IRCTC), which dominates railway catering and online ticketing in India.

In this article, we look at the top monopoly stocks in India for February 2025 based on their 5-year CAGR (Compound Annual Growth Rate).

Best Monopoly Stocks in India in February 2025 – Based on 5-yr CAGR

Name Market Cap (in ₹ crore) ↓5Y CAGR (%) 1Y Return (%) Net Profit Margin (%)
Hindustan Aeronautics Ltd 2,35,980.60 55.35 20.33 23.59
Bharat Heavy Electricals Ltd 68,332.01 37.83 -16.6 1.15
Indian Railway Catering and Tourism Corporation Ltd 61,812.00 25.3 -18.38 25.01
ITC Ltd 5,68,504.51 18.26 9.64 27.78
Hindustan Zinc Ltd 1,82,766.17 17.96 37.1 25.86

Note: The monopoly stocks list provided here is as of February 04, 2025. The stocks are sorted based on 5-year CAGR. 

Overview of the 5 Best Monopoly Stocks in February 2025

1. Hindustan Aeronautics Limited

Hindustan Aeronautics Limited (HAL) is a government-owned aerospace and defence company based in Bengaluru, India. Founded on December 23, 1940, HAL is one of the oldest and largest manufacturers in the aerospace and defence industry globally.

For the period ending September 2024, the company reported a revenue of ₹5,976.55 crore and a net profit of ₹1,490.36 crore. In comparison, the revenue for June 2024 was ₹4,347.57 crore, and the net profit was ₹1,435.59 crore. 

Key metrics:

  • Earning per Share (EPS): ₹126.67
  • Return On Equity (ROE): 27.25%

2. Bharat Heavy Electricals Limited

BHEL is a major public sector company in India and the largest government-owned electrical and industrial technology firm. It is owned by the Indian government and operates under the Ministry of Heavy Industries.

For the period ending December 2024, the company reported a revenue of ₹7,277.09 crore and a net profit of ₹124.77 crore. In comparison, the revenue for September 2024 was ₹6,584.10 crore, with a net profit of ₹96.67 crore. 

Key metrics:

  • EPS: ₹1.42
  • ROE: 2.01%

3. Indian Railway Catering and Tourism Corporation

Indian Railway Catering and Tourism Corporation (IRCTC) is a government-owned company that offers ticketing, catering, and tourism services for Indian Railways. It was founded in 1999 by the Indian government and operates under the Ministry of Railways.

For the period ending September 2024, the company reported a revenue of ₹1,064.00 crore and a net profit of ₹307.82 crore. In comparison, the revenue for June 2024 was ₹1,120.15 crore, with a net profit of ₹307.68 crore. 

Key metrics:

  • EPS: ₹15.00
  • ROE: 34.05%

4. ITC Limited

ITC Limited is an Indian multinational company based in Kolkata. It operates in six main sectors: FMCG, hotels, agribusiness, information technology, paper products, and packaging. A significant portion of its revenue comes from tobacco products.

For the period ending September 2024, the company reported a revenue of ₹20,537.35 crore and a net profit of ₹5,078.34 crore. In comparison, the revenue for June 2024 was ₹18,219.74 crore, with a net profit of ₹4,917.45 crore. 

Key metrics:

  • EPS: ₹16.46
  • ROE: 28.22%

5. Hindustan Zinc Limited

Hindustan Zinc Limited is an Indian company that mines and produces zinc, lead, silver, and cadmium. It is a subsidiary of Vedanta Limited.

For the period ending December 2024, the company reported a revenue of ₹8,556.00 crore and a net profit of ₹2,647.00 crore. In comparison, the revenue for September 2024 was ₹8,242.00 crore, with a net profit of ₹2,298.00 crore. 

Key metrics:

  • EPS: ₹22.12
  • ROE: 122.28%

Best Monopoly Stocks in India in February 2025 – Based on Market Cap

Name ↓Market Cap (in ₹ crore) 5Y CAGR (%) 1Y Return (%) Net Profit Margin (%)
ITC Ltd 5,68,504.51 18.26 9.64 27.78
Hindustan Aeronautics Ltd 2,35,980.60 55.35 20.33 23.59
Coal India Ltd 2,30,486.04 15.92 -15.05 24.82
Nestle India Ltd 2,23,404.86 7.29 -5.91 15.53
Asian Paints Ltd 2,19,762.01 4.18 -21.43 15.04

Note: The monopoly stocks list provided here is as of February 04, 2025. The stocks are sorted based on market cap. 

Best Monopoly Stocks in India in February 2025 – Based on Net Profit Margin

Name Market Cap (in ₹ crore) 5Y CAGR (%) 1Y Return (%) ↓Net Profit Margin (%)
ITC Ltd 5,68,504.51 18.26 9.64 27.78
Hindustan Zinc Ltd 1,82,766.17 17.96 37.1 25.86
Indian Railway Catering and Tourism Corporation Ltd 61,812.00 25.3 -18.38 25.01
Coal India Ltd 2,30,486.04 15.92 -15.05 24.82
Hindustan Aeronautics Ltd 2,35,980.60 55.35 20.33 23.59

Note: The monopoly stocks list provided here is as of February 04, 2025. The stocks are sorted based on net profit margin. 

Advantages of Investing in Monopoly Stocks

  • Market Control: Monopoly companies often dominate their industry with little to no competition, ensuring steady demand for their products or services.
  • Ability to Set Prices: These companies have the power to set prices without much pressure from competitors.
  • Stable Operations: They typically operate in sectors with high entry barriers, which helps secure their position in the market.
  • Predictable Growth: With consistent demand, government support (in some cases), and economies of scale, these companies usually experience steady growth.
  • Lower Risk of Disruption: Due to their strong market position and brand recognition, they are less likely to face challenges from competitors.

Things to Keep in Mind When Investing in Monopoly Stocks

  • Regulatory Attention: Monopoly companies often face scrutiny from regulators due to concerns about unfair competition, and stricter rules could affect their profits.
  • Slower Growth: After reaching market saturation, growth can slow, especially in mature industries.
  • Risk of Disruption: New technologies or competitors with innovative ideas can challenge even the most established monopolies.

Conclusion

In addition to these factors, there are several monopoly stocks in India. Before investing, it’s important to understand the company’s business, financials, and future prospects. Make sure to consider your investment objectives, timeline of your investments and risk tolerance.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

22,000 EPFO Members Receive Higher Pension: How to Check Your Application Status

The EPFO (Employees’ Provident Fund Organisation) has asked 165,000 eligible members to pay additional contributions to qualify for a higher pension. This update was shared in Parliament by Minister of State for Labour & Employment, Shobha Karandlaje.

Higher Pension Applications and Processing

A total of 17.48 lakh applications were submitted by EPFO members and pensioners seeking a higher pension under the EPS (Employees’ Pension Scheme), 1995. This scheme allows employees to receive a larger pension by contributing more during their working years.

As of January 28, 2025, EPFO has issued demand notices in 1.65 lakh cases, informing members of the additional amounts they need to pay. So far, 21,885 pension payment orders have been processed and issued.

Efforts to Speed Up Processing

The government is actively monitoring pending cases and has issued guidelines to EPFO field offices to speed up application processing. The pension on higher wages is being granted based on a Supreme Court ruling from November 4, 2022.

To simplify the process, EPFO launched an online system for submitting and tracking applications. Members, pensioners, and employers could file validation and joint option applications from February 26, 2023. The deadlines were extended multiple times:

  • July 11, 2023: First deadline for members
  • September 30, 2023: Extension for employers to submit joint applications
  • May 31, 2024: Further extension for pending applications
  • January 31, 2025: Final deadline for employers to forward applications

How to Check Your EPFO Higher Pension Application Status

If you have applied for a higher pension, you can track your application online by following these steps:

  1. Visit the EPFO Unified Member Portal.
  2. Click on ‘Track Application Status for Pension on Higher Wages’.
  3. On the next page, select ‘Click Here’ under the same tab.
  4. Enter your Application Acknowledgement Number, UAN, or PPO Number.
  5. Fill in the Captcha Code, tick the Consent Box, and click ‘Get OTP’.
  6. Enter the OTP you have received on your registered mobile number and click ‘Get Status’.
  7. Your application status will be displayed on the screen.

By following these steps, EPFO members can stay updated on their higher pension applications.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Union Budget 2025: Key Capital Gains Tax Changes for Stock Market Investment

The Union Budget 2025 introduced minor changes to the capital gains tax structure, keeping the tax rates and holding periods unchanged. These rules will apply to various assets such as shares, mutual funds, bonds, debentures, unlisted shares, real estate, and other financial instruments for the financial year 2026 (Assessment Year 2026-27). 

Below are the major updates on capital gains taxation:

Tax on Unit Linked Insurance Plans (ULIPs)

Starting April 1, 2026, ULIPs with annual premiums above ₹2.5 lakh will attract a long-term capital gains (LTCG) tax of 12.5%. This change aims to standardise ULIP taxation with equity mutual funds.

Previously, there was confusion about whether ULIP gains should be classified as capital gains or regular income. Unlike traditional insurance policies that mainly invest in debt instruments, ULIPs allocate a large portion to equities. The revised framework now clearly categorises them under LTCG taxation.

LTCG Tax on Foreign Institutional Investors (FIIs)

The LTCG tax rate on certain securities for foreign institutional investors (FIIs) will increase from 10% to 12.5% from April 1, 2026. This change aligns LTCG tax rates for FIIs with those for Indian residents.

Previously, LTCG tax for listed shares, equity mutual funds, and business trusts was increased to 12.5% for FIIs in Budget 2024. However, bonds, government securities, and non-convertible debentures (NCDs) were still taxed at 10%. The new amendment corrects this and ensures uniform taxation.

Taxation of Alternative Investment Funds (AIFs)

Income from Category I and II AIFs will now be considered capital gains and taxed at 12.5%. Earlier, there was no clear tax classification for such income. The updated rule ensures consistency in the taxation of AIFs.

Category I and II AIFs mainly invest in unlisted companies, infrastructure, and debt instruments, while Category III AIFs focus on listed companies. Currently, Category I and II AIFs enjoy pass-through taxation, meaning their investors are taxed directly, whereas Category III AIFs do not receive the same treatment.

If the income of these AIFs were classified as business income, it would attract a much higher tax rate—30% for residents and up to 39% for non-residents. The new amendment, effective April 1, 2026, ensures AIF investors benefit from a lower tax rate.

Conclusion

The Budget 2025 retains the existing capital gains tax structure but introduces adjustments for ULIPs, FIIs, and AIFs. These changes aim to provide clarity and fairness in taxation, impacting investors from April 1, 2026, onwards.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

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