Income tax on elss and its redemption

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shanmukh asked 9 years ago

Hi I am investing ELSS funds through SIP and I am claiming tax exemption from it. If i started in investing in SIPs .. eg : If started in fy 2014-15 and claimed exemption for fy 2014-15 and same continued in 2015-16 and claimed exemption for fy 2015-16 my doubt is the lock in period for ELSS is 3 years, so for redemption of sip amount in fy 2014-15 i have wait till 2017 and what about for the sips invested in 2015-16 i have to redeem it in 2018 or i can with draw it in 2017.... Kindly elaborate....

1 Answers

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Sreekanth Staff answered 9 years ago

Hi, The units allotted under each SIP are locked for 3 years. So, if your SIP is in Jan 2015 (FY 14-15), you have to wait till Jan 2018, to redeem these units.