Taxation of gold depends on the time frame the investment is held.
Housing loan can be taken for the purchase of a house or for the repairing of the house. And depending on the reason, the tax benefits change.
Tax-saving funds have three year lock in. However, you need not necessarily sell them after completion of three years.
Time frame of investment is not the only condition that defines how much capital gains one pays on his investments in shares. One cannot ignore other conditions too.
Higher SIP amount helps investor to tackle inflation in the financial goals. Also with the rising income levels, it is relatively easy to increase the mutual fund SIP.
One should know how much he has to invest to plan his income tax well. Otherwise, he ends up over-investing in tax saving instruments that offer little benefits to him.
Never confuse between pre-tax returns and post tax- returns. Also compare returns taking into account the tax slab the individual falls in.
Contrary to popular belief that MIP offers regular income, these mutual fund offerings may not help you to get regular income. Also exposure to equity and debt bring in different risks.
A lower number of cost inflation index means relatively less scope to raise the cost of asset and higher tax outgo.
While investing most investors sign off the form and forget about their investments. However, operational lapses can cost dear to the investor.
You have to account for tax deducted at source, while computing income tax payable and accordingly file your income tax returns
A little bit of work on the tax angle of all your financial transactions â€“ especially investments, can pay rich dividends, which in turn ensures financial freedom for you.
Mutual fund investors have to learn to live with short term dips in schemes‘ performance and changes in ownership. Such changes should not deter focus on fundamental aspects of procedure of investment management.
International funds may look great from the diversification point of view, risks such as currency risks, portfolio concentration risks and operational risks.
AS 26 is a crucial document and can offer you a clear picture of how much income tax has been paid in your name.
Documents such as form16, interest certificate on home loan, TDS certificate and proof of your investments should be ready with you to ensure smooth filing of income tax returns.
TDS on recurring deposits makes investors either submit the exemption forms if there is no taxable income. In case of TDS on RD, they may have to revisit their tax calculations and accordingly pay tax
Balanced funds invest around 70% of the money in equities and rest in bonds. This may not the in line with 50:50 exposure to bonds and shares the investor desires.
Long term investments means the gains are long term in nature and do not attract tax. This means you not only save on taxes but also get to ride short term volatility in the equity markets.
Investors should check the dividend yield and should not get carried away by the rate of dividend announced on the face value of the units. Also one should assess if the dividends are sustainable.
Be it your bank account number, IFS code or the bank name, it is better to disclose all. You should also declare all earnings or credits you have received throughout the year
Compared to the old scheme of three colours system, five levels of risks help mutual funds better represent the risk associated with mutual fund schemes
A dip in mutual fund returns need not necessarily happen due to failure of the fund manager and investors need not take any decision in a haste.
Now the taxpayers will be issued a one time password on their mobile phones, which can be used to complete the procedure of tax filing online and there will not be any need to send tax returns physically.
Transactions carried out on exchanges attract zero rate of tax on long term gains, whereas transaction off the exchanges attract 20% tax on long term gains.