Now that you’ve seen it, tell me doesnāt that sum up half the financial arguments you see online. You say mutual funds? Someone screams “stocks!” You say fixed deposits (FDs)? Someone else declares them useless. Apparently, on social media, picking one thing means trashing everything elseāand nuance has left the chat. Hereās the truth: very…
Capital gains are the profits generated by an investor after selling a capital asset. These profits are the difference between the selling price and the original purchase price of a capital asset. Capital gains play a key role in determining how an investment has performed over a period of time. Types of capital gains Short-term…
Do you regularly invest in stocks and have booked capital gains by selling some shares recently? In case you are not aware, these gains can be set off against the losses you may have incurred via another stock. This process of adjusting the loss against the gain is known as ātax loss harvestingā. Let us…
For agricultural purposes, I intend to sell my urban agricultural land within the municipal limits, which has been repurchased for ten years. How can I save capital gains tax? Can I purchase another agricultural land out of the sale proceeds in my name or the joint names of my husband/sons or invest the amount in…
We are going to sell a house in my wifeās name. My wife and I had a joint home loan on the house which I paid fully. I did not claim any tax deduction on the home loan interest. At the time of sale, can my wife add the unclaimed interest to the cost of…
My son resides in the US, whereas I stay in Pune. My son owns two house properties in Pune. Can I pay municipal taxes on his behalf for those properties? āName withheld on request I assume that your son is a non-resident since he resides in the US. According to Foreign Exchange Management Act (Fema)…
Fixed-income investments such as fixed deposit (FD) interest, bond interest, and debt mutual funds are typically taxed at the marginal rate (slab rate). The 2023 budget had abolished the benefit of long-term capital gains tax or LTCG for debt mutual funds. However, there’s a notable exception in the tax system for certain bond transactions. If…
I wish to diversify my investment portfolio to align with my long-term financial goals. At 40, I have a monthly income of ā¹3 lakh, and expenses of ā¹1.5 lakh. I invest ā¹1 lakh per month in small, mid, and large-cap index funds through systematic investments plans (SIPs). My portfolio includes ā¹2.85 crore in mutual funds,…
The latest budget has significantly altered the real estate landscape, with diverse impacts across various market segments. Long-term property investors face reduced returns due to the withdrawal of indexation benefits, while first-time homebuyers might benefit from more stable prices. Developers, particularly those in the affordable housing sector, may experience growth despite increased project costs. The…
If you have recently sold an asset and are unsure whether the sale will be computed as per the short-term or long-term capital gain tax, then you need to first determine the holding period of the asset. This is the threshold that determines whether the capital gain is short term or crossed over to long…
