Hi,
I had started purchasing Mutual Fund on SIP basis monthly 2000 from Apr-15. I paid 13 installments upto Apr-16 & it was a growth based mutual fund. I redeemed it in July-16 & earn gain. How i have to treat it for taxation? Long term Short term?
Hiral Mehta (Job) (118 Points)
10 August 2016Hi,
I had started purchasing Mutual Fund on SIP basis monthly 2000 from Apr-15. I paid 13 installments upto Apr-16 & it was a growth based mutual fund. I redeemed it in July-16 & earn gain. How i have to treat it for taxation? Long term Short term?
suresh
(proprietor)
(425 Points)
Replied 10 August 2016
YOue invsetment in Mutual Fund is to be calculated seprately for each monthe and investment block is to be seprated say holding for the period of more than 12 months and less then 12 months. Accordily block of units hold for more then 12 months will be long term and rest will be short term capiltal gain. If you redeem it in part then FIFO method is to adopted for working of capital gain.
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