ICICI Bank has announced the launch of the Capital Gains Account Scheme (CGAS), enabling taxpayers to deposit un-invested long-term capital gains or sale proceeds from specified capital assets to claim tax exemptions while earning interest.
The launch follows the Government of India’s approval of ICICI Bank as an authorised institution to accept CGAS deposits. The scheme will be available from January 1, 2026, for Resident individuals and Hindu Undivided Families (HUFs). The bank said the facility will be extended to non-individuals and non-resident Indians (NRIs) shortly.
The scheme is intended for taxpayers who are unable to reinvest long-term capital gains before the income tax return filing deadline. Under CGAS rules, customers can temporarily park eligible capital gains for up to three years without losing tax exemption eligibility, while earning interest similar to savings accounts or fixed deposits.
Customers can open a Capital Gains Account by visiting their nearest ICICI Bank branch, excluding rural locations, in line with CGAS regulations.
An ICICI Bank spokesperson said, “We thank the Government of India for recognising ICICI Bank as an authorised institution for CGAS deposits. With this scheme, customers can park un-invested long term capital gains, earn interest, and claim tax exemptions, while planning reinvestment up to three years. This offering reinforces our commitment to deliver financial solutions that meet evolving customer needs.”
Under the scheme, customers can choose between Type A accounts, which operate as savings accounts allowing flexible withdrawals linked to approved reinvestment purposes, and Type B accounts, which function as term deposits in cumulative or non-cumulative formats.
The scheme allows taxpayers to claim exemption on long-term capital gains by depositing un-invested proceeds before the due date for filing income tax returns, subject to conditions under applicable provisions of the Income Tax Act. Withdrawals are permitted only upon providing proof of usage of funds for approved reinvestment purposes, which may include property, agricultural land, or new capital assets of industrial undertakings in non-urban areas or special economic zones, depending on the CGAS category selected.
ICICI Bank said customers should consult tax advisors for guidance on eligibility, reinvestment conditions, and applicable tax provisions.
