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Mutual Fund

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(Querist)
25 February 2011 Hello Experts

My query is this, a private co. want to invest Rs. 100 crore in a mutual fund.Co. want to know the pros ans cons of this investment regarding taxation.Which type of investment co. should do??,Capital, growth or dividend??
I mean to say which type of investment will lead to lower taxability in income tax??
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CMA. Subhash Kumar Jha

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CMA. Subhash Kumar Jha (Expert)
25 February 2011 better option would be in dividend as dividend in the hands of receiver is tax free.
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