No proposal before govt on capital gains tax: I-T department

New Delhi: The Income Tax Department on Tuesday said there is no proposal before the government on capital gains tax.

The department in a tweet said: "It is clarified that there is no such proposal before the Government on capital gains tax".

A media report earlier in the day said India is preparing an overhaul of its direct tax law, including changes in capital gains taxes.

Following the report, the equity market benchmark Sensex declined 331 during the intra-day trade. It later recovered some losses and closed 183.74 points lower at 59,727.