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TDS on MF Dividend (New Section 194K)

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Mutual fund is not required to pay tax on income distributed to its unit holders on or after 1-4-2020

Such dividend distribution will be taxable in the hands of Unitholders.

Under new section 194K , there will be TDS on such dividend @ 10% (above threshold limit of Rs 5000/-)
Replies (2)

New section says that Any person responsible for paying to a resident any income. It is not restricted to dividend distribution.  Will it not include capital appreciation also. 

No clarification has been provided


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