Tax implications (MF)

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vijaya asked 7 years ago

Dear Shreekanth, Thank you for answering my previous question. I have 2 new queries: Question 1. With regards to Liquid,Balanced or Debt funds, I read about Dividend being tax free but the Fund house has to pay DDT. Is the Growth option Tax free ? I am in the 30% tax bracket. Question 2. I read about STCG and LTCG. After 3 years, I understand that the investment in Bal.Fund or Debt Fund will be Tax free ?

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Sreekanth Staff answered 7 years ago

Hi, The long term capital gains on Equity funds only are tax free. Suggest you to kindly go through below articles ; https://www.relakhs.com/mutual-funds-taxation-rules-capital-gains-tax-rates-on-mfs-fy-201516/ https://www.relakhs.com/asset-classes-returns-tax-implications/