Akash Bagrecha

Budget Review - Neutral- Negative - Long term capital gains increased to 12.5% which is big but what worries me is it is an indication of further increase in upcoming years. - exemption increased to 1.25 lacs which is insignificant. - STT increased for F&O which may help people focus on Long term equity (unlikely) - STCG increased for short term players, also an indication that most taxes are going to new tax regime direction. - Coalition effects were seen in Budget as mostly focus was on Andhra, Bihar and North east.

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𝗧͟𝗵͟𝗲͟ ͟𝗣͟𝗼͟𝘄͟𝗲͟𝗿͟ ͟𝗼͟𝗳͟ ͟𝗣͟𝗿͟𝗼͟𝗮͟𝗰͟𝘁͟𝗶͟𝘃͟𝗲͟ ͟𝗣͟𝗹͟𝗮͟𝗻͟𝗻͟𝗶͟𝗻͟𝗴͟:͟ ͟𝗛͟𝗼͟𝘄͟ ͟𝗦͟𝘁͟𝗮͟𝗿͟𝘁͟𝘂͟𝗽͟𝘀͟ ͟𝗖͟𝗮͟𝗻͟ ͟𝗔͟𝘃͟𝗼͟𝗶͟𝗱͟ ͟𝗧͟𝗮͟𝘅͟ ͟𝗛͟𝗲͟𝗮͟𝗱͟𝗮͟𝗰͟𝗵͟𝗲͟𝘀͟ Following up on the challenges Indian startups face with taxes, let's explore how proactive planning can make a big difference: • 𝗦𝘁𝗮𝘆 𝗨𝗽𝗱𝗮𝘁𝗲𝗱: Familiarity with government schemes and recent tax law changes can unlock valuable deductions. Resources like the Income Tax Department website and industry publications are great starting points. • 𝗢𝗿𝗴𝗮𝗻𝗶𝘇𝗲 𝗬𝗼𝘂𝗿 𝗥𝗲𝗰𝗼𝗿𝗱𝘀: Maintain a clear system for receipts, invoices, and employee contracts. This saves time and ensures accuracy during tax filing. • 𝗦𝗲𝗲𝗸 𝗚𝘂𝗶𝗱𝗮𝗻𝗰𝗲: Consider consulting with a tax advisor or Chartered Accountant familiar with the startup ecosystem. They can provide tailored advice and assist with navigating complex regulations. Building a strong financial foundation is crucial for any startup's success.  By proactively managing your taxes, you can: • 𝗙𝗿𝗲𝗲 𝘂𝗽 𝘃𝗮𝗹𝘂𝗮𝗯𝗹𝗲 𝗿𝗲𝘀𝗼𝘂𝗿𝗰𝗲𝘀: Minimize time and stress associated with tax season. • 𝗠𝗮𝘅𝗶𝗺𝗶𝘇𝗲 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗿𝗲𝘁𝘂𝗿𝗻𝘀: Claim all eligible deductions and minimize tax burdens. • 𝗗𝗲𝗺𝗼𝗻𝘀𝘁𝗿𝗮𝘁𝗲 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗿𝗲𝘀𝗽𝗼𝗻𝘀𝗶𝗯𝗶𝗹𝗶𝘁𝘆: This can be attractive to potential investors or partners. 𝗘𝗺𝗽𝗼𝘄𝗲𝗿𝗶𝗻𝗴 𝗜𝗻𝗱𝗶𝗮𝗻 𝘀𝘁𝗮𝗿𝘁𝘂𝗽𝘀 𝗳𝗼𝗿 𝗮 𝗯𝗿𝗶𝗴𝗵𝘁𝗲𝗿 𝗳𝘂𝘁𝘂𝗿𝗲! Remember, a thriving startup ecosystem benefits everyone. By sharing knowledge and fostering collaboration, we can create a more supportive environment for innovation and growth. #startuptaxes #financialplanning #business #Startup #StartupIndia #Entrepreneurship #VentureCapital #TalkToACa #internalaudit #startupgrowth #financialhealth #successstory

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The vision of these two gentlemen who began their journey with nothing and reached a quarterly PAT of 1021 crore, goes beyond mere financial numbers. This journey has created smiles for millions of investors by helping them invest to achieve their life dreams. It has provided job opportunities for employees, allowing them to support their families. Additionally, the taxes paid contribute to nation-building. Their philanthropic commitments over and above this is making a wow impact on society. #MOFSL #Wealthmachine #CompoundingMachine #Investing #ThinkinvestmentthinkMotilaloswal.

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NIFTY 50 PE at 22742 21.7 agst. 1 month average 21.63 3 month average 22.43 6 month average 22.56 1 year average 22.34 3 year average 21.66 5 year average 25.62 It will be prudent to not compare 5 year average as this period include Covid period, when earnings were exceptionally low leading to higher PE. If we compare other figures, NIFTY 50 is still fairly priced. But there is one caution that IT and Financials like Bank have large weight in Nifty 50 and they are down leading to corrected NIFTY. If we exclude IT, Financials and FMCG, then market is certainly high. So, it makes more sense in investing in Basket instead of individual stocks. This is just for information for further analysis before investment and not a recommendation.

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Why ELSS is the Best Tax-Saving Tool Equity Linked Savings Schemes (ELSS) provide the dual advantage of tax savings and potential for high returns. They offer tax deductions under Section 80C and have a relatively short lock-in period of just 3 years. ELSS is a smart choice for those looking to grow their wealth while saving on taxes. #ELSS #TaxSavings #Investing #WealthBuilding #FinancialPlanning

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Today's Headlines from : *Economic Times* 📝 PE Advent International queues up for a stake in Apollo 24/7 📝 CBDT extends deadline for charitable trusts' registration till June 30 📝 Mop up from divestment, asset sale beats FY24 RE of Rs 30,000 crore 📝 India's services exports grow 11.4% in 2023: UNCTAD report 📝 Adani Group's Vizhinjam Port gets ministry nod to run India's first transshipment operations 📝 IndusInd Bank Q4 Results: Net profit jumps 15% YoY to Rs2,349 crore 📝 Swiggy secures shareholder nod for a potential $1.2 billion IPO 📝 REC Ltd secures Japanese green loan of Rs 3,200 crore 📝 Puravankara arm Provident Housing raises Rs 1,150 crore from HDFC Capital 📝 FlashAid raises $2.5 million in funding round led by Piper Serica Angel Fund, SOSV 📝 Temasek, Fidelity may invest $200 million in Lenskart at $5 billion valuation *Business Standard* 📝 IndiGo places $5 billion order for 30 A350-900 widebody aircraft 📝 Food delivery major Swiggy gets one step closer to $1.25 billion IPO 📝 World Bank, IT ministry to come up with state-level DPI adoption index 📝 Nestle India Q4FY24 results: Net profit soars 27% to Rs 934 crore 📝 Coromandel International Q4 results: Profit falls 35% to Rs 163 crore 📝 Indian startup funding declines 3.1% to $2.3 billion in Q1 CY2024 📝 Happiest Minds to acquire Noida-based PureSoftware for $94.5 million 📝 FirstCry set to withdraw $500 million IPO papers after regulatory scrutiny 📝 Vedanta Q4 results: Net slips 27% to Rs 1,369 crore on Tuticorin impact 📝 Tata Steel to invest £1.25 billion in electric arc furnace in Port Talbot *Financial Express* 📝 ITC Hotels makes first overseas check-in with Colombo property 📝 Tech Mahindra Q4 results: Net profit declines 41% to Rs 664.2 crore 📝 Govt seeks to push export infrastructure 📝 Above-normal monsoon to cool inflation, growth resilient: Finance ministry 📝 Vodafone Idea closes 26% higher than listing price *Mint* 📝 Micron Clinches Up to $13.6 Billion in US Grants, Loans 📝 China approves self-driving startup’s US listing amid signs of easing rules 📝 Water level in reservoirs shrinks to 30% of storage capacity 📝 MEA shares update as 16 Indians remain on board ship seized by Iran 📝 Meta COO Javier Olivan offloads portion of his holdings at $245; stock dips 13% 📝 REC to lend ₹1, 869 cr for 624 MW Kiru hydro project in Jammu & Kashmir 📝RoCs keep regulatory heat on companies; 284 businesses faced orders since Jan 📝 India's oil imports from Russia drops in Feb, Saudi Arabia 2nd largest supplier

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I believe indexation rules on Real estate will be brought back some day. Because removal of indexation does more harm than it does good to the overall economy. & simplification of tax rates / rules should not lead to significantly increased tax burden which impacts all the income segments specially in case of Real estate (unlike other asset categories) Harms:- 1. Increase in black economy in real estate. As fair value consideration will be under accounted. 2. In developed economies, buying home is promoted and there are tax breaks to boost it. This taxation rule will demotivate the homebuyers. 3. Consider the above negative impact on the real estate builders and their sales trajectory. 4. Real estate valuations will be purposely under reported and thereby will bring variability in prices in same localities. 5. Consider increase in litigations due to under reporting of tax. 6. Land acquisitions would be impacted until incentivised. Good:- 1. Brings LTCG to 2yrs instead of 3yrs. So this may help churn investments faster 2. Proposed stamp duty revisions which is to be undertaken by States might be a respite. 3. Increases the tax collection. It will matter of time, when ? #RealEstate #Budget #India #indexation

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Revsion in Budget announced ! Big relief Indexation on Real estate has been brought back for atleast purchases before 23 July 2024. This is a very big relief for the existing home owners as it will save plenty in taxes. As per new rules for real estate bought before 23 July 2024 - LTCG at 12.5% w/o indexation or 20% with indexation, whichever is lower. While change has been made for existing home owners, I continue to believe indexation will be brought back in some form for new buyers too in future. What about Debt Funds now ? Will there be reinstatement of indexation for Debt Funds invested before 31.3.2023 ? #RealEstate #Tax #LTCG #Indexation

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🚀 India's IPO Market is Booming: Key Information for Investors! India's IPO market is on fire in 2024, with September marking a surge in activity as 41 companies filed offer documents with SEBI. Investor enthusiasm is palpable with 67 companies still awaiting clearance and one in the confidential pre-filing stage.  Out of 239 IPOs in 2024, 175 opened above their issue price, and 183 were trading higher by the end of the month, showcasing strong market momentum. Retail investors enjoyed significant gains, with average listing returns of 27%, soaring to 114% by month's end. Key IPOs like NTPC Green, Hexaware Technologies, and Vikram Solar stood out. SEBI's policy changes, particularly around non-institutional investor allotments and IPO financing by NBFCs, have reduced oversubscription rates and fewer applications from large NII investors. Upcoming IPOs, including Vishal Mega Mart, Hyundai Motor India, and Swiggy, are set to keep the momentum going. Exciting times ahead for retail and institutional investors! #IPO #Investing #IndiaMarkets #RetailInvestors #StockMarketGrowth #SEBI

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IPO Alert: Multibagger IPO👀 JNK India Limited is here🚨 Date: March 23rd - 25th, April 2024 Price Band: ₹395 - ₹415 per share Lot Size: 36 GMP: currently 0 Issue size: ₹649 crore ( almost 48% fresh issue) Financials: Financials are rising and looks good. ROE & ROCE is above 31% What They Do: Company is into design, manufacture, supply, installation, & commissioning of process-fired heaters, reformers & cracking furnaces. IPO Objective: 52% towards OFS rest will be used for working capital & general purpose USP: 90% revenue is generated from oil & gas companies thus it is in ever growing sector. Final Decision: Company is good but let's wait for solid GMP numbers and Encouraging Anchor List and then will decide. Stay Tuned! #ipo #investing #personalfinance #stockmarket

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𝐀𝐥𝐦𝐨𝐬𝐭 𝐚𝐥𝐥 𝐯𝐞𝐧𝐭𝐮𝐫𝐞 𝐜𝐚𝐩𝐢𝐭𝐚𝐥 𝐢𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐢𝐬 𝐝𝐞𝐛𝐭! Most of venture capital investments come with liquidation preference. So what is liquidation preference? Lets take an example: You raise INR 10 crores at a INR 100 crore valuation translating to a 10% to the investor. But the next day you sell your start up for INR 15 crores. Technically the investor will have to get INR 1.5 crores, but no! As an investor protection mechanism (and rightly so), the investor will get the INR 10 crores investment back first. So the founders get to split the balance INR 5 crores only and not make INR 13.5 crores (90% of INR 15 crores) Or take an example of the start up being sold for INR 10 crores. The founder gets nothing and the VC gets INR 10 crores This is very fair, but doesnt this make the investment a quasi-debt instead of equity? So unless the start up gets sold for more than what was raised, the founders dont make any money! This is the reason investments happen through compulsorily convertible preference shares (CCPS) This clause lets the venture capital funds set any valuation while protecting their downside risk with liquidation preference If the venture is sold for INR 150 crores the next day, the investor will convert his CCPS to equity and take INR 15 crores back for the 10%. So when a unicorn is valued at a $1 bn+, are those really a unicorn? Or when the start up founders' net worth is calculated by multiplying his stake and the valuation, is it really the net worth? I wonder how the leading magazines of the world dont look into these terms to actually estimate the founders' net worth accurately. Comment your opinions below. #investing #startups #valuation #terms #ccps #fundraise

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Fixed Deposits (FDs) Pros: 1. Low risk 2. Fixed returns 3. Liquidity (though may face penalties) Cons: 1. Lower returns compared to inflation 2. Interest income taxed 3. Returns may not beat inflation Best for: 1. Short-term savings 2. Emergency funds 3. Conservative investors Systematic Investment Plans (SIPs) Pros: 1. Potential for higher returns 2. Rupee-cost averaging 3. Long-term wealth creation Cons: . Market risks 2. Volatility 3. Requires discipline Best for: 1. Long-term investments 2. Retirement planning 3. Wealth creation Comparing FDs and SIPs: FDs provide stable, low-risk returns, while SIPs offer potential for higher returns with managed risk. SIPs are suitable for long-term goals, whereas FDs are ideal for short-term savings or emergency funds. Incorrect comparisons to avoid: 1. Comparing FD interest rates directly with SIP returns. 2. Assuming SIPs guarantee fixed returns. 3. Overlooking risks associated with SIPs Invest wisely: 1. Assess risk tolerance and financial goals. 2. Diversify investments (FDs, SIPs, other asset classes). 3. Consult a financial advisor. Investment decisions should be based on individual circumstances, risk tolerance, and financial objectives. Always prioritize informed decision-making and consult experts when needed Parth Verma

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Budget 2024 hits the right spots in moving towards simpler taxes. Nudging taxpayers towards the new tax regime, pushing investments into the New Pension Scheme (including NPS Vatsalya), removal of the angel tax and tax equalization levy are steps in the right direction. However, the removal of indexation of costs in respect of long-term capital gains hits taxpayers who could not have envisaged such a drastic change. Cost indexation rightly ensured that only real income was taxed after considering the effect of inflation on purchase / improvement costs. In fact, in a significant number of cases, taxpayers typically have a long-term capital loss on sale of long-term capital assets. While the effective rate of tax has been lowered, this is not necessarily beneficial for all taxpayers. Those taxpayers who are adversely impacted should be given an alternative to deal with the abrupt change in the tax law. A grandfathering provision (similar to the one introduced when long-term capital gains became taxable in 2018) would ensure that if a taxpayer is impacted adversely, they can opt for the old method. Or at the very least, the tax rate in such cases could be brought down to zero.

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Excited to be part of this insightful Market Chit-Chat session! We covered key topics like the Bajaj Housing IPO, gold prices, iron ore trends, and the new EV subsidy. Check out the discussion for some great takeaways!

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😍Probable stock picks & Union Budget: On the right path🎯💯💪 1) Fiscal prudence was the highlight of this Budget though the tinkering with the LTCG tax and hike in the STT came as a negative surprise.✅ 2) Fiscal deficit target is pegged at 4.9% of GDP despite a healthy capital outlay of Rs. 11.11 lakh crore and additional expenditure in agriculture & allied sectors, skilling & employment creations and tax relief to middle class.✅ 3) in addition to healthy allocation of Rs11.1 lakh crore for infra development, the budget has interesting scheme for employment generation and supporting urban poor.✅ 4) Overall, it is a growth-oriented budget and markets would quickly adjust to the tax changes post the knee-jerk reaction today. Hence, investors could use the volatility to buy into quality stocks to ride the multi-year economic upcycle in the Indian economy.✅ Investment Picks:🤩 • Large-caps: TCS, Infosys, DLF, ITC, ICICI Bank, M&M, SBIN, L&T, Tata Motors, HUL, Dabur, Sun Pharma, Hero MotoCorp, NTPC, PowerGrid, UltraTech and Coal India✅ • Mid-caps: Kajaria Ceramics, JK Lakshmi Cement, Bharat Forge, HAL, BEL, Persistent System, Sundram Fasteners, Carborundum Universal, Varun Beverages and Zydus Wellness.✅ • Small-caps: Kirloskar Oil Engines, Radico, DEE Development, ABDL, Arvind Smartspaces, KEC, Garware Hitech, Lumax Auto Technologies, ISGEC and Emami.✅ #teachingtrading #investing #algotrading

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Optimizing your investments for tax efficiency can enhance your returns significantly. Strategies to consider: ELSS Funds: Equity Linked Savings Schemes offer tax benefits under Section 80C. For example, investing ₹1.5 lakh can save you up to ₹46,800 in taxes. Long-Term Capital Gains (LTCG): Investments held for over a year in equity mutual funds are taxed at 10% beyond ₹1 lakh. But, long-term investments are not liquid. So what is there is an emergency? Go for options like LMAF (Loan Against Mutual Funds) to secure funds without disturbing your investments. By strategically planning your investments, you can maximize tax savings and grow your wealth more effectively. #WealthManagement #TaxPlanning #Investing #securedlending #banking

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"Hi, I am Rohit Krishna. Back in 2011, I had one goal: to break into the PE/VC world. With only a handful of funds in India, it was an uphill climb. Fast forward to 2017 – we launched WEH Ventures with our Fund 1 of ₹20 Crores. Raising for our Fund 1 wasn’t easy. After all, your portfolio is not built out at all. It’s entirely blind investing. By 2020, we raised Fund 2 at ₹100 Crores, with me stepping into the role of General Partner. For our funds, the IRR is way above the standard: Fund 1: Approx 27-28%. (We raised ₹20 crores and have already returned this capital to investors. Profits are anticipated over the next 18-24 months.) Fund 2: Approx 39-40%, though exits are yet to start, as we recently completed the portfolio build-out. Want to build a career in a VC or start your own...here are my two cents!" #venturecapital #finance #charteredaccountant

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