- Duty will be levied on mutual fund investment
- Government amended the Indian Stamp Act 1899 and changed the rules
- The rule has come into effect from July 1
- New Delhi: Many rules have changed from July 1, so some new rules have come into force. In this, a new rule is related to Mutual Fund. Now you have to start stamp duty on buying Mutual Fund. Which means that stamp duty at the rate of 0.005 percent will now have to be paid for buying mutual funds (MF), reinvesting Dividend and other mutual funds. Apart from this, if there is a transfer from one demat account to another demat account, then the transfer of units will be charged at the rate of 0.015 percent. But if you finish the mutual fund unit then you will not have to pay any kind of tax.Government’s new Floating Rate Savings Bond Scheme 2020, knowing interest will invest immediatelyChanges made through this rule – The government has amended the Indian Stamp Act 1899 and made a provision for imposing stamp duty. This provision has been made through the Finance Bill 2019. After the implementation of this rule, you will have to pay a duty of 5 rupees for every lakh, which will be taken from you only while purchasing the MF.
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The consequences of how the duty will affect the investors (INVESTORS) are divided. Some finance experts believe that duty is so low that it will not affect investors’ decisions. But if your investment is in crores then you will know this tax. So there is another category which believes that since the unit will be available to you after the duty is cut, its effect will be known. So at the same time some people believe that its effect will depend on the duration of the unit.
