Investment ??

This query is : Resolved

Share Report Follow Query Ask a Query

Ankit

Ankit (Querist)
Follow

03 April 2015 where to do investment for good return equity vs debentures vs fd along with their tax implications

CA. SHIVA SHANKARA R. SHETTY

CA. SHIVA SHANKARA R. SHETTY (Expert)
Follow

03 April 2015 Investment is always based on 'high risk high return, low risk low return'.

Equity - highly risky investment area. Therefore, you can book the high return as well as high loss also. In bull market, you can expect 15%-20% return on your investment.

FD - Very low risky investment. Therefore, normal return is 8%-9%

Debenture - It is also low risky investment. However, debenture normally secured against immovable property of the company. The rate of interest always higher than the FD interest rate.

Tax Implication:
Equity:
1. Dividend is exempted
2. Long term capital gain i.e. if the holding period is more then 1 year, is exempted.
3. Short term capital gain i.e. if the holding period is less than 1 year, then it is taxable at the rate of 15%.

FD & Debenture:
Interest is taxable.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

CA Sunny Sharma

Rajat Khandelwal

ASHOK B GONDKAR

ashvini tripathi

CA Lalit Kumar Agrawal

Subscribe Now

Investment ??

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

CA Final

GST CONSULTANCY

GST CONSULTANT

Senior Executive

Manager- Finance and Compliance

Accountant