Long term capital gains
If a fund is purchased and kept for over one year, then it is referred to as a long-term investment, and gains or losses made on it are referred to as long-term capital gains or losses, respectively.
1 STT @ 0.25% will be deducted on equity funds at the time of redemption and switch to the other schemes
2 For foreign corporates, the rate applicable would be 40% + 2% surcharge + 3% cess i.e. 42.024%
3 The short term/long term capital gain tax will be deducted at the time of redemption of units in case of non-resident investors only
The rates that will be applied by the AMC at the time of redemption would be as follows
Short Term Capital Gains
If a fund is purchased and kept for less than one year, means if an investment has been held for less than a year, then it is referred to as a short-term investment. The gains or losses made on such an investment are also referred to as short-term capital gains or losses, respectively.