Are tax saver SIPs good to invest ?

Forums Capital Gains Are tax saver SIPs good to invest ?

Are tax saver SIPs good to invest ?

Investment in tax saver SIPs can save tax under 80C, but what about tax on gain from SIP at the time of redemption ?

Profile photo of Unwire Asked By: Unwire 1 replies 1 helpful answers Last Updated: 5 months, 2 weeks ago
  • Profile photo of UnwireUnwire
    Participant

    Investment in tax saver SIPs can save tax under 80C, but what about tax on gain from SIP at the time of redemption ?

  • Profile photo of Chetan ChandakChetan Chandak
    Moderator

    It’s good tax saving investment option which can provide you good returns depending on the stock market performance. But it carries a bit higher risk.
    Risk is reduced a bit if you opt for SIP mode of as it averages market fluctuations.
    Depending on the holding period of each lot of SIP it will be treated as Short term or long term. But this question may not arise as generally these comes with lock in of 3 years and being equity fund long term gain shall be exempt.

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