- Demat Account Not Opened
- No transactions in Equity or F&O
- Resident Individual
- Annual Income < =Rs. 10 lakh
- If Demat Account already Opened, No transactions in Equity or F&O
- 2nd & 3rd holder of an account can open a new account as 1st holder
The tax deduction under RGESS shall be available to a new retail investor whose gross total income for the financial year (1 April to 31 March) in which the investment is made under the Scheme is less than or equal to 10 lakh rupees.
A new retail investor is defined as follows:
- Any resident Individual who has not opened a demat account and has not made any transactions in the equity or derivative segment as on the date of notification of the scheme i.e., November 23, 2012. OR
- Any resident Individual who has opened a demat account as a first holder, but has not transacted in the equity or derivate segment till November 23, 2012. OR
- Any resident Individual who has a demat account as a joint holder.