PPFAS Mutual Fund :: Fund Managers

Taxation of Parag Parikh Large Cap Fund

Since Parag Parikh Large Cap Fund will invest at least 65% of its corpus in Indian equities and equity-related instruments, it will be taxed as an Equity-Oriented Fund.

Here is how the scheme will be taxed:

Tax Implications of Investing in PPLCF (an Equity Oriented Fund)
Tax Status of Investor	Capital Gains Tax		Tax on Distributed Income under IDCW Option	TDS on Capital Gains	TDS on Distributed Income IDCW Option
Tax Status of Investor	Short Term	Long Term*	Tax on Distributed Income under IDCW Option	TDS on Capital Gains	TDS on Distributed Income IDCW Option
Resident Individual/HUF/AOP/BOI	20%	12.50%	At the applicable Tax slab rate	NIL	10%**
Domestic Companies	20%	12.50%	At the applicable Tax slab rate	NIL	10%**
N R I s	20%	12.50%	At the applicable Tax slab rate	STCG - 20% LTCG - 12.5%	20%

Important Notes:

*LTCG is exempt up to ₹1.25 lacs in each financial year for equity oriented funds.
**TDS will be applicable in case of dividend payment exceeding Rs. 10,000.

This is general information only and does not constitute tax advice. Investors are advised to consult their tax and financial advisors to understand the implications of investing in this Scheme based on their individual tax status and investment horizon.

All taxes shall be increased by applicable surcharge and health & education cess and prevailing tax laws.

For Detailed information on Tax Rates for Mutual Fund Investors and Other Tax Provisions, please read the complete text by AMFI here, Tax Regime for Mutual Funds, or refer our Tax Reckoner.

Tax Corner