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| Posted: 08 Aug 2016 04:38 AM PDT As per data from AMFI, AUM from tier-2&3 towns in retail segment increased by `40,700 crore, in last one year, indicating there are many first time investors in MFs. Since taxation for a MF is different from that for traditional fixed deposits, it is important that investors understand the tax liability of the scheme they have invested in to reduce hassles at the end of the year 1. How does taxation work on equity oriented MFs? Funds where equity holding is more than 65% of the total portfolio are classified as equity funds for taxation. All equity schemes, arbitrage funds, balanced funds (which have 65-75% equity and 25-35% debt) and equity savings funds (equity , debt and arbitrage) too are classified as equity oriented funds from a taxation perspective. Fund of Funds (mutual funds (MFs) which invests in other funds) & international funds (funds which have more than 35% exposure to international equities) will be kept under debt category for tax purpose. If you buy and hold an equity-oriented MF for more than 1 year, long term capital gain on such funds will be nil.However, if you sell the fund before one year you are liable to pay short-term capital gains tax. 2. How is tax liability different for debt-oriented funds? Liquid funds, income funds, gilt funds, capital protection schemes are classified as debt-oriented schemes for taxation. Units of such non-equity mutual funds held for more than 36 months qualify as long-term capital gains. On such units, long-term capital gains (LTCG) are taxed at 20% with indexation, while short term capital gains on such funds are taxed as per the slab rate of the individual investor. 3. If an investor opts for dividend option, how is that income treated? Investors can opt for either the dividend option or a growth option in a mutual fund scheme. If they opt for the growth option, they do not get any dividends. When they sell the fund they earn a capital gain. If they opt for the dividend option, they will receive intermittent dividends at regular intervals plus earn a capital appreciation, when they redeem.Dividend income is tax-free or exempted from tax in the hands of individual / HUF (Hindu Undivided Family) investors in all mutual fund schemes. Dividend Distribution Tax (DDT), which is applicable to non-equity schemes only, is paid by the mutual fund asset management company . ------------------------------ Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds Top 10 Tax Saver Mutual Funds to invest in India for 2016Best 10 ELSS Mutual Funds in india for 2016
1. BNP Paribas Long Term Equity Fund 2. Axis Tax Saver Fund 3. Religare Tax Plan 4. DSP BlackRock Tax Saver Fund 5. Franklin India TaxShield 6. ICICI Prudential Long Term Equity Fund 7. IDFC Tax Advantage (ELSS) Fund 8. Birla Sun Life Tax Relief 96 9. Reliance Tax Saver (ELSS) Fund 10. Birla Sun Life Tax Plan
Invest in Best Performing 2016 Tax Saver Mutual Funds Online For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call ------------------------------ Leave your comment with mail ID and we will answer them OR You can write to us at PrajnaCapital [at] Gmail [dot] Com OR Leave a missed Call on 94 8300 8300 ------------------------------ | ||
| Reliance Fixed Horizon Fund Series Posted: 08 Aug 2016 04:01 AM PDT Reliance Mutual Fund has extended the maturity of Reliance Fixed horizon Fund - XXIV - Series 3, a close ended income scheme, by 684 days. Subsequent to the roll over the scheme shall mature on June 25, 2018. ------------------------------ Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds Top 10 Tax Saver Mutual Funds to invest in India for 2016Best 10 ELSS Mutual Funds in india for 2016
1. BNP Paribas Long Term Equity Fund 2. Axis Tax Saver Fund 3. Religare Tax Plan 4. DSP BlackRock Tax Saver Fund 5. Franklin India TaxShield 6. ICICI Prudential Long Term Equity Fund 7. IDFC Tax Advantage (ELSS) Fund 8. Birla Sun Life Tax Relief 96 9. Reliance Tax Saver (ELSS) Fund 10. Birla Sun Life Tax Plan
Invest in Best Performing 2016 Tax Saver Mutual Funds Online For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call ------------------------------ Leave your comment with mail ID and we will answer them OR You can write to us at PrajnaCapital [at] Gmail [dot] Com OR Leave a missed Call on 94 8300 8300 ------------------------------ | ||
| Posted: 08 Aug 2016 02:04 AM PDT Large cap companies have turned lucrative post the volatility we have seen in the markets recently. Given their proven operating performance, high operating cash flow from operations, market share and wide distribution network; they are considered a safe bet for conservative to moderate investors. In the large cap fund category BSLAMC has proven itself to be the best player and BSL Top 100 fund is a highly recommended fund.
Since its inception in 2005, BSL Top 100 Fund has withstood several market downturns and has proven its mettle by limiting downside through all the rough cycles to the investors. With its consistency of returns and low risk approach BSL Top 100 Fund has outperformed the benchmarks across all time periods. (Refer graph below)
The fund is declaring its annual dividend for FY2016-17, an amount of Rs 1.41/unit (approx dividend yield of 8.2%) under the regular plan, record date being 22nd July 2016. Following are the Key features of the fund:
· With an AUM of Rs 2026 crores (as on 30 June 2016) the fund has returned 15.2% CAGR (as on 19 July 2016) since inception. The fund has declared 13 dividends till date amounting to a total of Rs 14.9/unit and an average dividend yield of 11%. · An investment of Rs 10000 at inception (24 Oct 2005), would have grown about 4.5X times to Rs 44595 in a little over 10 years. An SIP of Rs 1000 since inception is worth about Rs 286,940 for a principal investment of Rs 129,000, annualized returns of 14.22%, vis-à-vis Rs 220,780 annualized returns of 9.66% by the Nifty 50. (As on July 19 2016. Source: MFI Explorer)  |
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