Tax is deducted by funds and therefore, it is not going to be charged in the hands of investors
18-Dec-2009•Value Research
Will dividends be taxable, or tax free, on the following funds: Reliance monthly income plan (MIP) and HDFC MIP?
For income tax purposes, MIPs are treated as debt funds, which carry a dividend tax of 14.16 per cent. But it is tax-free in the hands of investors since fund houses deduct the tax at source and pay it to tax department.
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