Anthropic IPO: If you get shares, how will your investment be taxed in India and US? Check TCS, capital gains tax rules

Indian investors eyeing the upcoming Anthropic IPO must navigate a complex web of tax rules in both countries. The primary concern is the Tax Collected at Source (TCS) on Liberalised Remittance Scheme (LRS) remittances. If you use your LRS limit to buy shares, a 20% TCS is levied on amounts exceeding ₹10 lakh. This is not an additional tax but a prepayment against your eventual capital gains tax liability.
Post-listing, any gains from selling these shares will be taxed as per Indian regulations. Short-term capital gains (held for less than 24 months) are taxed at your slab rate, while long-term gains attract a flat 12.5% tax. Furthermore, any dividends received from the US-listed company will be subject to a 25% withholding tax, which can be reduced by a Double Taxation Avoidance Agreement (DTAA) treaty. Investors must also report their foreign assets in their annual tax returns.
Excerpt from Mint
Indian investors who buy Anthropic IPO shares or purchase them after the listing must consider 20% TCS on eligible LRS remittances exceeding ₹ 10 lakh, Indian capital gains tax, US dividend withholding tax and foreign asset disclosure requirements. An Indian resident who manages to secure shares in Anthropic IPO will…Read the original at Mint
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Key takeaways
- Concerns Tata Consultancy Services (TCS).
- Category: Corporate Action.
- Assessed as a significant, market-relevant update.
Why it matters
A meaningful update for Tata Consultancy Services worth tracking. Use the price and stock snapshot to gauge how the market is responding.












