Dividend Distribution Tax on Mutual Funds

Mayur Khetshi Nisar (Practice) (139 Points)

27 March 2010  

Hi All,

In a mutual fund, under Dividend Option Dividend Distribution Tax (DDT) is paid.

I believe DDT forms the cost for the Mutual Fund, which is eventually borne by the Growth Funds as well, thereby indirectly impacting its NAV.

Please share alternative views, if any.

Regards

Mayur