Nasdaq 100 ETF taxation

Motilal Oswal Nasdaq 100 ETF (MON100) purchased in Mar 2023, not offered but

What can be the tax legal responsibility if I promote in FY24-25 vs FY25-26?

I learn International Shares and Taxation – Varsity by Zerodha but it surely’s nonetheless not clear.

How is Motilal Oswal Nasdaq-100 ETF taxed in India?

Motilal Oswal Wealth Administration

Spend money on Equities backed by Advisory & Analysis (1987–current)Writer has 1.1K solutions and 10.4M reply views3y

The Nasdaq-100 ETF we offer is taxed as an ‘funding aside from fairness oriented fund’ (i.e. debt taxation with/with out indexation advantages). Within the occasion you have got determined to promote the Nasdaq-100 ETF, you’ll have to report the revenue or loss within the monetary yr. The losses or positive aspects ought to be reported as capital positive aspects revenue. This fund is classed as a debt mutual funds funding.

Since they’re thought-about debt mutual funds, the taxation on their returns can be achieved within the following method :

Returns from the Nasdaq-100 ETF offered after 3 years will likely be recorded as long-term capital acquire and the returns on them are taxed at 20% of indexation.

Returns for the Nasdaq-100 ETF that are offered in lower than 3 years will likely be recorded as quick time period capital positive aspects and the returns will likely be taxed relying on the fund proprietor’s revenue tax slab.

In the event you want to scale back the tax quantity, you must study in regards to the means of debt mutual funds taxation.

The Nasdaq-100 ETF we have now offered provides our prospects the flexibility to incorporate worldwide funds of their portfolio. Together with such worldwide funds might help people who need to diversify their portfolios.

This reply is 3 years outdated, taxation guidelines have modified since then I imagine

@QuickoCan you please assist?

What would the relevant holding interval to depend it in LTCG? I’m assuming it ought to be 1 yr because it’s listed in India.
Would the restrict of 1.25L exemption apply to this as nicely?
Does the taxation for this modification between this FY and subsequent FY as per the brand new funds?

I researched a bit however couldn’t discover any definitive reply.