Chapter 5: How is Income from Mutual Funds Taxed?

Table of Content

Understanding Mutual Fund Income: 

• Learn the different types of income you can earn from mutual funds, such as dividends and capital gains.

Taxation of Dividend Income: 

• Understand how dividends from mutual funds are taxed in India post the abolishment of Dividend Distribution Tax (DDT).

Taxation of Capital Gains: 

• Explore the tax implications on short-term and long-term capital gains from mutual funds, and how it varies across equity and debt funds.

Indexation Benefits: 

• Discover how indexation benefits can help reduce the tax on long-term capital gains from debt mutual funds.

Relevant Exemptions and Deductions: 

• Know about the exemptions and deductions available to investors to reduce their tax liability on income from mutual funds.