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NSC and 3Years lock in MF

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Ravindar

13 Points Posted on 06 January 2020

Hi Friends,

I have two queries:

1) 5 Years Post office NSC maturing in this year.

2) 3 Years lock in period MFs.

maturing in this January. Tax implications please. I am salaried employee.

Thanks in advance

Replies (2)

Quick Summary

This discussion addresses tax implications for a salaried employee with maturing investments. It covers the tax treatment of the final year's interest on a 5-year National Savings Certificate (NSC) and the tax on long-term capital gains (LTCG) from a 3-year lock-in mutual fund (MF). The user seeks clarification on whether their gains, which are below the ₹1 lakh LTCG exemption limit, will be taxed.

Kapadia Pravin

17269 Points Posted on 06 January 2020

1. NSC 5th & last year interest will be your income from other sources.

2. ELSS MF units the difference will be Long Term Capital Gain or Loss taxable @ 10% flat rate. Exempt upto 1 lakh alongwith other LTCG