Sir, I am reading lot of articles regarding the capital gains…I had invested in mutual fund in equity oriented schemes and I am holding these funds for greater than 1 year. If I withdrew those funds how to calculate tax?
As I am holding for greater than one year so they fall under Long term capital gains. If I redeem those funds I need to show them in tax returns or not ?
If I need to show in tax return under which head I need to show eg. like income from other sources or in salary or income from property head.
(I know that LTCG are exempted from tax…it means we need to show them on it return when we redeem them .)
lot of confusion…kindly give me a light on this topic.
If your holding period is more than a year in equity mutual funds then it is tax-free. You can show this in exempt income category. Regarding taxation of mutual funds, refer my latest post “Mutual Fund Taxation FY 2017-18 and Capital Gain Tax Rates“.