India Provides Income Tax Exemption on Interest and Capital Gains Earned from Government Securities by Foreign Institutional Investors

India published the Income-Tax (Amendment) Commencement Ordinance 2026 in the Official Gazette on 5 June 2026. The Ordinance is deemed to have come into force on 1 April 2026, providing an income tax exemption on interest and capital gains earned from government securities by foreign institutional investors, as well as the Bank for International Settlements established at the Hague Conference in 1930 and headquartered at Basel, Switzerland. Such exemption shall be subject to the furnishing of…