Mutual Fund Taxation
Equity
Must have minimum 65% equity investment for it to be applicable for equity taxation.
< 1 yr- STCG - 20%> 1 yr- LTCG - 12.5% - upto 1.25 Lakh exempt per annum
Non Equity
Debt, Gold ETF etc, are taxed on income slab rates.
FIFO Withdrawal
In case of SIPs, oldest lots are redeemed first incase of withdrawal. Each lot is calculated separately for taxes.