24 June 2011
Redemption of units of debt debt fund is subject to capital gain tax. The holding of units of debt fund is more than 12 months. So my question is.....
Whether there is an option is available to assessee to be taxed @20% if indexation is taken or to be taxed @10% if indexation is not taken ?
24 June 2011
yes, u have a option that If you hold a debt fund for more than a year you can avail of the indexation benefit (tax on gain from debt fund after a year - 20 per cent with indexation benefit or 10 per cent without it, whichever is less) and reduce your tax liability.
CAclubindia
