Opinion | Tax rules on financial assets and the message from the government
Tax benefits, in the context of investments, show what the government wants to prioritise
Tax exemptions or any beneficial tax treatment, in the context of investments, are not only about the exemptions but also carry a message from the government. The message is about what the government wants to prioritise. It could be a national priority (for instance, infrastructure development and allowing tax breaks for related investments) or it could be certain savings habits which it incentivises (for instance, Public Provident Fund for retiral savings).