{"id":9256,"date":"2018-07-24T09:49:08","date_gmt":"2018-07-24T04:19:08","guid":{"rendered":"https:\/\/www.apnaplan.com\/?p=9256"},"modified":"2018-10-08T10:45:50","modified_gmt":"2018-10-08T05:15:50","slug":"tax-on-sip","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/tax-on-sip\/","title":{"rendered":"How to Calculate Tax on SIP in Mutual Funds?"},"content":{"rendered":"

SIP or Systematic Invest Plan in Mutual Funds have become quite popular among investors<\/strong>. However, most people are not clear about how their SIP would be taxed on redemption.<\/p>\n

To answer the taxation aspect, we need to understand what SIP is?<\/strong><\/p>\n

SIP is buying of mutual funds every month (or daily) with a fixed amount.<\/strong> The only difference is the entire process of investment has been automated for a period of time. Each SIP installment for all practical purpose is like a fresh investment in mutual fund. So, on redemption the capital gains are calculated based on investment in each SIP installment. We explain this by an example:<\/p>\n

Suppose I have invested in IDFC Premier Equity Direct-G using SIP of Rs 5,000 from January to December 2016 on 1st of every month (total 12 installments).<\/strong><\/p>\n

At the end of SIP total number of units was 802 units as shown in table below:<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
SIP Date<\/strong><\/td>\nSIP Amount<\/strong><\/td>\nQuantity Purchased<\/strong><\/td>\nPurchase NAV<\/strong><\/td>\n<\/tr>\n
1-Jan-16<\/td>\n5,000<\/td>\n66.84<\/td>\n74.81<\/td>\n<\/tr>\n
1-Feb-16<\/td>\n5,000<\/td>\n71.43<\/td>\n70.00<\/td>\n<\/tr>\n
1-Mar-16<\/td>\n5,000<\/td>\n75.98<\/td>\n65.80<\/td>\n<\/tr>\n
1-Apr-16<\/td>\n5,000<\/td>\n71.55<\/td>\n69.89<\/td>\n<\/tr>\n
2-May-16<\/td>\n5,000<\/td>\n68.93<\/td>\n72.54<\/td>\n<\/tr>\n
1-Jun-16<\/td>\n5,000<\/td>\n67.33<\/td>\n74.26<\/td>\n<\/tr>\n
1-Jul-16<\/td>\n5,000<\/td>\n65.57<\/td>\n76.26<\/td>\n<\/tr>\n
1-Aug-16<\/td>\n5,000<\/td>\n62.19<\/td>\n80.40<\/td>\n<\/tr>\n
1-Sep-16<\/td>\n5,000<\/td>\n62.84<\/td>\n79.56<\/td>\n<\/tr>\n
3-Oct-16<\/td>\n5,000<\/td>\n61.30<\/td>\n81.56<\/td>\n<\/tr>\n
1-Nov-16<\/td>\n5,000<\/td>\n61.33<\/td>\n81.53<\/td>\n<\/tr>\n
1-Dec-16<\/td>\n5,000<\/td>\n66.97<\/td>\n74.66<\/td>\n<\/tr>\n
Total<\/strong><\/td>\n60,000<\/strong><\/td>\n802.25<\/strong><\/td>\n\u00a0<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Also Read:<\/strong>\u00a023 most common Investments and how they are Taxed?<\/a><\/p><\/blockquote>\n

Now we take different scenarios and calculate Long Term and Short-Term Capital Gains\/Loss.<\/strong><\/p>\n

\"Tax
Tax on SIP in Mutual Funds<\/strong><\/figcaption><\/figure>\n

Just to reinstate, for equity funds gains\/losses from units sold after 1 year of investment is classified as long-term capital gains\/losses while units sold with-in 1 year of investment is short-term capital gains\/losses<\/strong><\/em><\/span>.<\/p>\n

Scenario 1: Redemption Within 1 Year of completion of SIP<\/h2>\n

I sell all units on June 2, 2017<\/strong>. What would be my Long Term and Short-Term Capital Gains\/Loss?<\/span><\/p>\n

All SIP installments between January 1 to June 1, 2016 have completed at least 1 year of investment, so would qualify for Long Term Capital Gains, while SIP between July to December would be short term capital gains. The table below explains the calculation.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Selling all Units on June 2, 2017 with NAV of Rs 88.8727<\/strong><\/span><\/td>\n<\/tr>\n
SIP Date<\/strong><\/td>\nQuantity Purchased<\/strong><\/td>\nPurchase NAV<\/strong><\/td>\nPurchase Value<\/strong><\/td>\nSell Value<\/strong><\/td>\nCapital Gains<\/strong><\/td>\nShort Term Capital Gains<\/strong><\/td>\nLong Term Capital Gains<\/strong><\/td>\n<\/tr>\n
1-Jan-16<\/td>\n66.84<\/td>\n74.81<\/td>\n5,000<\/td>\n5,940<\/td>\n940<\/td>\n0<\/td>\n940<\/td>\n<\/tr>\n
1-Feb-16<\/td>\n71.43<\/td>\n70.00<\/td>\n5,000<\/td>\n6,348<\/td>\n1,348<\/td>\n0<\/td>\n1,348<\/td>\n<\/tr>\n
1-Mar-16<\/td>\n75.98<\/td>\n65.80<\/td>\n5,000<\/td>\n6,753<\/td>\n1,753<\/td>\n0<\/td>\n1,753<\/td>\n<\/tr>\n
1-Apr-16<\/td>\n71.55<\/td>\n69.89<\/td>\n5,000<\/td>\n6,358<\/td>\n1,358<\/td>\n0<\/td>\n1,358<\/td>\n<\/tr>\n
2-May-16<\/td>\n68.93<\/td>\n72.54<\/td>\n5,000<\/td>\n6,126<\/td>\n1,126<\/td>\n0<\/td>\n1,126<\/td>\n<\/tr>\n
1-Jun-16<\/td>\n67.33<\/td>\n74.26<\/td>\n5,000<\/td>\n5,984<\/td>\n984<\/td>\n0<\/td>\n984<\/td>\n<\/tr>\n
1-Jul-16<\/td>\n65.57<\/td>\n76.26<\/td>\n5,000<\/td>\n5,827<\/td>\n827<\/td>\n827<\/td>\n0<\/td>\n<\/tr>\n
1-Aug-16<\/td>\n62.19<\/td>\n80.40<\/td>\n5,000<\/td>\n5,527<\/td>\n527<\/td>\n527<\/td>\n0<\/td>\n<\/tr>\n
1-Sep-16<\/td>\n62.84<\/td>\n79.56<\/td>\n5,000<\/td>\n5,585<\/td>\n585<\/td>\n585<\/td>\n0<\/td>\n<\/tr>\n
3-Oct-16<\/td>\n61.30<\/td>\n81.56<\/td>\n5,000<\/td>\n5,448<\/td>\n448<\/td>\n448<\/td>\n0<\/td>\n<\/tr>\n
1-Nov-16<\/td>\n61.33<\/td>\n81.53<\/td>\n5,000<\/td>\n5,450<\/td>\n450<\/td>\n450<\/td>\n0<\/td>\n<\/tr>\n
1-Dec-16<\/td>\n66.97<\/td>\n74.66<\/td>\n5,000<\/td>\n5,952<\/td>\n952<\/td>\n952<\/td>\n0<\/td>\n<\/tr>\n
Total<\/strong><\/td>\n802.25<\/strong><\/td>\n\u00a0<\/strong><\/td>\n60,000<\/strong><\/td>\n71,298<\/strong><\/td>\n11,298<\/strong><\/td>\n3,789<\/strong><\/td>\n7,509<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Download:\u00a0<\/strong><\/span>Tax Planning Guide for FY 2018-19<\/a><\/p><\/blockquote>\n

Scenario 2:\u00a0Redemption after 1 Year of completion of SIP<\/h2>\n

I sell all units on December 28, 2017<\/strong>. What would be my Long Term and Short-Term Capital Gains\/Loss?<\/span><\/p>\n

All SIP installments between January to December 2016 have completed at least 1 year of investment, so would qualify for Long Term Capital Gains, and there would be NO short-term capital gains. The table below explains the calculation.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Selling all Units on December 28, 2017 with NAV of Rs 101.3288<\/span><\/strong><\/td>\n<\/tr>\n
SIP Date<\/strong><\/td>\nQuantity Purchased<\/strong><\/td>\nPurchase NAV<\/strong><\/td>\nPurchase Value<\/strong><\/td>\nSell Value<\/strong><\/td>\nCapital Gains<\/strong><\/td>\nShort Term Capital Gains<\/strong><\/td>\nLong Term Capital Gains<\/strong><\/td>\n<\/tr>\n
1-Jan-16<\/td>\n66.84<\/td>\n74.81<\/td>\n5,000<\/td>\n6,773<\/td>\n1,773<\/td>\n0<\/td>\n1,773<\/td>\n<\/tr>\n
1-Feb-16<\/td>\n71.43<\/td>\n70.00<\/td>\n5,000<\/td>\n7,238<\/td>\n2,238<\/td>\n0<\/td>\n2,238<\/td>\n<\/tr>\n
1-Mar-16<\/td>\n75.98<\/td>\n65.80<\/td>\n5,000<\/td>\n7,699<\/td>\n2,699<\/td>\n0<\/td>\n2,699<\/td>\n<\/tr>\n
1-Apr-16<\/td>\n71.55<\/td>\n69.89<\/td>\n5,000<\/td>\n7,250<\/td>\n2,250<\/td>\n0<\/td>\n2,250<\/td>\n<\/tr>\n
2-May-16<\/td>\n68.93<\/td>\n72.54<\/td>\n5,000<\/td>\n6,984<\/td>\n1,984<\/td>\n0<\/td>\n1,984<\/td>\n<\/tr>\n
1-Jun-16<\/td>\n67.33<\/td>\n74.26<\/td>\n5,000<\/td>\n6,822<\/td>\n1,822<\/td>\n0<\/td>\n1,822<\/td>\n<\/tr>\n
1-Jul-16<\/td>\n65.57<\/td>\n76.26<\/td>\n5,000<\/td>\n6,644<\/td>\n1,644<\/td>\n0<\/td>\n1,644<\/td>\n<\/tr>\n
1-Aug-16<\/td>\n62.19<\/td>\n80.40<\/td>\n5,000<\/td>\n6,302<\/td>\n1,302<\/td>\n0<\/td>\n1,302<\/td>\n<\/tr>\n
1-Sep-16<\/td>\n62.84<\/td>\n79.56<\/td>\n5,000<\/td>\n6,368<\/td>\n1,368<\/td>\n0<\/td>\n1,368<\/td>\n<\/tr>\n
3-Oct-16<\/td>\n61.30<\/td>\n81.56<\/td>\n5,000<\/td>\n6,212<\/td>\n1,212<\/td>\n0<\/td>\n1,212<\/td>\n<\/tr>\n
1-Nov-16<\/td>\n61.33<\/td>\n81.53<\/td>\n5,000<\/td>\n6,214<\/td>\n1,214<\/td>\n0<\/td>\n1,214<\/td>\n<\/tr>\n
1-Dec-16<\/td>\n66.97<\/td>\n74.66<\/td>\n5,000<\/td>\n6,786<\/td>\n1,786<\/td>\n0<\/td>\n1,786<\/td>\n<\/tr>\n
Total<\/strong><\/td>\n802.25<\/strong><\/td>\n\u00a0<\/strong><\/td>\n60,000<\/strong><\/td>\n81,291<\/strong><\/td>\n21,291<\/strong><\/td>\n0<\/strong><\/td>\n21,291<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Also Read: \u00a0<\/a><\/strong><\/span>Best Tax Saving Investments u\/s 80C<\/a><\/p><\/blockquote>\n

Scenario 3:\u00a0Redemption in between of SIP<\/h2>\n

I had an emergency and head to sell units midway when the SIP was on. So, I sell all units available on June 3, 2016<\/strong>. \u00a0What would be my Long Term and Short-Term Capital Gains\/Loss?<\/span><\/p>\n

Many think that when SIP is running the units cannot be sold. This is NOT true. As we stated earlier, each SIP installment is like individual investment but automated. So, you can sell all units accumulated till date even while SIP is running. Like in the present scenario, we have accumulated 422 units from January to June. We can redeem all of it if required.<\/p>\n

As SIP installments between January to June 2016 have not completed 1 year of investment, so would qualify Short-term capital gains. There would be NO Long-term capital gains in this case. The table below explains the calculation.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Selling Units accumulated till June 2, 2016 (mid way of SIP) with NAV of Rs 74.5744<\/span>\u00a0<\/strong><\/td>\n<\/tr>\n
SIP Date<\/strong><\/td>\nQuantity Purchased<\/strong><\/td>\nPurchase NAV<\/strong><\/td>\nPurchase Value<\/strong><\/td>\nSell Value<\/strong><\/td>\nCapital Gains<\/strong><\/td>\nShort Term Capital Gains<\/strong><\/td>\nLong Term Capital Gains<\/strong><\/td>\n<\/tr>\n
1-Jan-16<\/td>\n66.84<\/td>\n74.81<\/td>\n5,000<\/td>\n4,984<\/td>\n-16<\/td>\n-16<\/td>\n0<\/td>\n<\/tr>\n
1-Feb-16<\/td>\n71.43<\/td>\n70.00<\/td>\n5,000<\/td>\n5,327<\/td>\n327<\/td>\n327<\/td>\n0<\/td>\n<\/tr>\n
1-Mar-16<\/td>\n75.98<\/td>\n65.80<\/td>\n5,000<\/td>\n5,666<\/td>\n666<\/td>\n666<\/td>\n0<\/td>\n<\/tr>\n
1-Apr-16<\/td>\n71.55<\/td>\n69.89<\/td>\n5,000<\/td>\n5,336<\/td>\n335<\/td>\n335<\/td>\n0<\/td>\n<\/tr>\n
2-May-16<\/td>\n68.93<\/td>\n72.54<\/td>\n5,000<\/td>\n5,140<\/td>\n140<\/td>\n140<\/td>\n0<\/td>\n<\/tr>\n
1-Jun-16<\/td>\n67.33<\/td>\n74.26<\/td>\n5,000<\/td>\n5,021<\/td>\n21<\/td>\n21<\/td>\n0<\/td>\n<\/tr>\n
1-Jul-16<\/span><\/td>\n65.57<\/span><\/td>\n76.26<\/span><\/td>\n5,000<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n<\/tr>\n
1-Aug-16<\/span><\/td>\n62.19<\/span><\/td>\n80.40<\/span><\/td>\n5,000<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n<\/tr>\n
1-Sep-16<\/span><\/td>\n62.84<\/span><\/td>\n79.56<\/span><\/td>\n5,000<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n<\/tr>\n
3-Oct-16<\/span><\/td>\n61.30<\/span><\/td>\n81.56<\/span><\/td>\n5,000<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n<\/tr>\n
1-Nov-16<\/span><\/td>\n61.33<\/span><\/td>\n81.53<\/span><\/td>\n5,000<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n<\/tr>\n
1-Dec-16<\/span><\/td>\n66.97<\/span><\/td>\n74.66<\/span><\/td>\n5,000<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n0<\/span><\/td>\n<\/tr>\n
Total<\/strong><\/td>\n<\/td>\n\u00a0<\/strong><\/td>\n<\/td>\n31,474<\/strong><\/td>\n1,474<\/strong><\/td>\n1,474<\/strong><\/td>\n0<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Once you are able to determine your losses as long term or short term the taxation is easy.<\/p>\n

Also Read:<\/strong> 3 Reasons Why Growth Option is better than Dividend Option in Equity Mutual Fund?<\/a><\/p><\/blockquote>\n

Long\/Short Term Capital Gains Tax on Mutual Funds:<\/h2>\n

For Equity Mutual Funds:<\/h3>\n

Starting April 1, 2018 Long Term Capital Gains<\/span> <\/strong><\/span>of more than Rs 1 Lakh would be taxed at the rate of 10.4% (including cess). This was introduced in Budget 2018. Until last financial year (FY 2016-17) the long-term capital gains from equity funds were tax free.<\/p>\n

The Short-Term Capital Gains<\/strong><\/span> are taxed at 15.6% (including cess).<\/p>\n

Also Read:<\/strong> Detailed Taxation of Equity & Debt Mutual Fund<\/a><\/p><\/blockquote>\n

We would take the above three scenarios and calculate tax on the same.<\/p>\n

Scenario 1:<\/h3>\n

We calculate the taxes before and after FY 2018-19 as the rules changed from April 1, 2018.<\/p>\n\n\n\n\n\n
Capital Gains<\/strong><\/td>\nType<\/strong><\/td>\nTax Rate (pre FY 2018-19)<\/strong><\/td>\nTax before FY 2018-19<\/strong><\/td>\nTax Rate (post FY 2018-19)<\/strong><\/td>\nTax in FY 2018-19<\/strong><\/td>\n<\/tr>\n
3,789<\/td>\nShort Term<\/td>\n15.45% (including cess)<\/td>\n584<\/td>\n15.60% (including cess)<\/td>\n591<\/td>\n<\/tr>\n
7,509<\/td>\nLong Term<\/td>\n0%<\/td>\n0<\/td>\n10.4% (if capital gains > 1 Lakh)<\/td>\n781<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Scenario 2:<\/h3>\n

We calculate the taxes before and after FY 2018-19 as the rules changed from April 1, 2018.<\/p>\n\n\n\n\n\n
Capital Gains<\/strong><\/td>\nType<\/strong><\/td>\nTax Rate (pre FY 2018-19)<\/strong><\/td>\nTax before FY 2018-19<\/strong><\/td>\nTax Rate (post FY 2018-19)<\/strong><\/td>\nTax in FY 2018-19<\/strong><\/td>\n<\/tr>\n
0<\/td>\nShort Term<\/td>\n15.45% (including cess)<\/td>\n0<\/td>\n15.60% (including cess)<\/td>\n0<\/td>\n<\/tr>\n
7,509<\/td>\nLong Term<\/td>\n0%<\/td>\n0<\/td>\n10.4% (if capital gains > 1 Lakh)<\/td>\n2,214<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Also Read:<\/strong>\u00a0SIP Vs. Lumpsum \u2013 Which is the Best way to Invest in Mutual Fund?<\/a><\/p><\/blockquote>\n

Scenario 3:<\/h3>\n

We calculate the taxes before and after FY 2018-19 as the rules changed from April 1, 2018.<\/p>\n\n\n\n\n\n
Capital Gains<\/strong><\/td>\nType<\/strong><\/td>\nTax Rate (pre FY 2018-19)<\/strong><\/td>\nTax before FY 2018-19<\/strong><\/td>\nTax Rate (post FY 2018-19)<\/strong><\/td>\nTax in FY 2018-19<\/strong><\/td>\n<\/tr>\n
1,474<\/td>\nShort Term<\/td>\n15.45% (including cess)<\/td>\n228<\/td>\n15.60% (including cess)<\/td>\n230<\/td>\n<\/tr>\n
0<\/td>\nLong Term<\/td>\n0%<\/td>\n0<\/td>\n10.4% (if capital gains > 1 Lakh)<\/td>\n0<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

For Debt Mutual Funds:<\/h3>\n

Long Term Capital Gains\/Losses:<\/strong><\/span> If the redemption of mutual fund happens after <\/span>3 <\/span>year of investment<\/span><\/strong> [Changed in Budget 2014<\/a>], the gains or losses are classified as long term capital gains\/losses in case of equity mutual fund.<\/p>\n

Short Term Capital Gains\/Losses:<\/strong><\/span> If the redemption of mutual fund happens with-in 3 year of investment<\/span><\/strong>, the gains or losses are classified as short term capital gains\/losses in case of equity mutual fund.<\/p>\n

For Debt Funds the tax calculation a bit more complicated as you need to consider indexation too<\/a>.<\/p>\n

Long Term Capital Gains are taxed at the rate of 20.8%<\/strong> <\/span>(including cess) after taking indexation benefit.<\/p>\n

The Short Term Capital Gains are added to the total income and taxed at the marginal income tax slabs.<\/strong><\/span><\/p>\n

Also Read:<\/strong> How SWP in Debt Mutual Funds is better than Fixed Deposit for Regular Income?<\/a><\/p><\/blockquote>\n

To Conclude:<\/h2>\n

Each SIP installment for all practical purpose is like a fresh investment in mutual fund. So, on redemption the capital gains are calculated based on investment in each SIP installment. We hope the tax calculation examples above would have cleared the taxation on SIP in Mutual Funds.<\/p>\n","protected":false},"excerpt":{"rendered":"

SIP or Systematic Invest Plan in Mutual Funds have become quite popular among investors. However, most people are not clear about how their SIP would be taxed on redemption. To answer the taxation aspect, we need to understand what SIP is? SIP is buying of mutual funds every month (or daily) with a fixed amount. […]<\/p>\n","protected":false},"author":1,"featured_media":9266,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[2322,3013,4],"tags":[3594,12,3692,13],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds.png",1022,557,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds-300x164.png",300,164,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds-768x419.png",768,419,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds.png",1022,557,false],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds.png",1022,557,false],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds.png",1022,557,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2018\/04\/Tax-on-SIP-in-Mutual-Funds.png",120,65,false]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":5,"uagb_excerpt":"SIP or Systematic Invest Plan in Mutual Funds have become quite popular among investors. However, most people are not clear about how their SIP would be taxed on redemption. To answer the taxation aspect, we need to understand what SIP is? SIP is buying of mutual funds every month (or daily) with a fixed amount.…","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/9256"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=9256"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/9256\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/9266"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=9256"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=9256"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=9256"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}