I live in Indonesia and hold an account in India for purchasing mutual funds/equities from the secondary market. Am I liable to pay any Capital Gains tax when I sell/redeem these shares/funds?
Equity-based MF schemes (65% or more exposure to equities) are governed differently from the debt-based schemes. In both cases, dividend is tax-free in the hands of the investor. However, there is a dividend distribution tax @14.025% payable by the MF directly to the exchequer in the case of debt-based whereas the equity-based are exempt from this tax.
Related Questions
- I live in Indonesia and hold an account in India for purchasing mutual funds/equities from the secondary market. Am I liable to pay any Capital Gains tax when I sell/redeem these shares/funds?
- Can I reinvest dividends directly into the Funds and is there any benefit over purchasing shares in the open market?
- Are these funds using munifund term preferred shares to redeem auction market preferred stock?
