Buyback Taxation After Budget 2026: What Promoters Need to Know

Introduction : One of the most common corporate structures for repatriating excess cash to shareholders and reallocating the company's capital structure is the share buyback. One of the common reasons for buybacks is to boost the earnings per share, optimize the capital structure, create shareholder value or to reduce promoter shares. In contrast to dividends, buybacks provide shareholders with greater flexibility in capital distribution, in that the buyback allows the shareholders to...