Dear financial gurus,
I have some confusions as under:
We redeem MFs with some capital gains. If we redeem within one yr capital gain @10% is deducted at source + some cess etc totalling about 12-15% in total. When we redeem after one year only cess 2-5% is deducted. I learnt this from discussions only.
Now, r we supposed to pay income tax on the capital gains that accrue through out the financial year?
If so, how do you keep track as to how much you have earned because we keep redeeming/investing on and off. Moreover, if we pay 30% tax on the income earned through MFs then the total tax [tax on capital gains, cess etc + income tax] we end up paying somethng like 45%??
I shall be grateful for advice/comments of financial gurus on the above.
Thanks
Kaushal
I have some confusions as under:
We redeem MFs with some capital gains. If we redeem within one yr capital gain @10% is deducted at source + some cess etc totalling about 12-15% in total. When we redeem after one year only cess 2-5% is deducted. I learnt this from discussions only.
Now, r we supposed to pay income tax on the capital gains that accrue through out the financial year?
If so, how do you keep track as to how much you have earned because we keep redeeming/investing on and off. Moreover, if we pay 30% tax on the income earned through MFs then the total tax [tax on capital gains, cess etc + income tax] we end up paying somethng like 45%??
I shall be grateful for advice/comments of financial gurus on the above.
Thanks
Kaushal