Most of the Officers whom I have interacted with during the last few months are not happy with the performance of their investment portfolios. Ever since the onset of COVID -19 in Mar 2020, these portfolios have shown great vulnerability towards financial market volatility. Not only equity investments, either directly or through mutual funds, but debt … Continue reading Not Happy with your Investment Portfolio?
Central Board of Direct Taxes(CBDT) vide their letter dated 18 th July 20 has informed that existing form 26AS will carry additional details of high-value transactions as part of the Statement of Financial Transactions(SFTs). Existing form 26AS carries the following information The tax which has been deducted at source (TDS) like it is being deducted … Continue reading What has changed in New Form 26AS?
In the last three months or so, ever since the lockdown has been enforced all across the world, the household savings rate has gone up substantially despite an increase in unemployment/loss of income. No outdoor eating /parties/movies, no shopping other than necessities, no travel are the main contributors. Why do we have to save money? … Continue reading Why do we save and How should we Invest
You want to become rich! Make your money work for you 24×7, 365 days a year. Do we know how people become rich? They invest money in creating assets and poor people create liabilities. So before we proceed, let’s understand in simple language what is an asset and a liability An asset is anything that puts money … Continue reading Make your money work for you!
Have we ever thought why most of us sell off our investments during market corrections? Is it because we need the money or is there any other reason(s). We all must have taken a ride in the roller coaster; when it goes up we feel excited but feel scared when it goes down. It’s the … Continue reading Why we sell-off during market corrections?
The recent decision of freezing six of their debt fund schemes by Franklin Templeton Debt mutual fund has sent a shock wave among the investors’ community who thought debt investments are safe and do not require any risk management. But if you see closely and analyse their investment pattern, it was an event waiting to … Continue reading Investments in Debt Mutual Funds
Rates of interest on various small saving schemes have been slashed substantially by the Government of India wef 01 April 2020. The annual rate of interest on Bank Savings Account would be around 2.75% and Bank FDs will fetch you 5.5% to 5.8% for one to three years of term deposit. Further, interest accrued on these investments … Continue reading Are we loosing money by investing in Bank FD?
Brutal fall in Indian stock markets over a period of last one month or so has left most of the equity portfolios bleeding. Fall has been so fast and vociferous that it wiped out almost all the gains of equity mutual fund schemes for last 3 to 5 years and in some cases up to 10 … Continue reading Understanding Investment Risks before Investing
As part of direct taxes, all of us are paying Income tax to Government of India. Income tax is levied on following two parts of income: 1. Earned income which is earned by us in a financial year(Apr to Mar)2. And the interest income which gets accrued on our savings / investments There is hardly any scope … Continue reading Are you paying Income tax on Interest Income?
During my interaction with officers in various forums, I find there is considerable amount of ambiguity as regards taxation on capital gains. I thought it’s important to provide this information in a consolidated manner for officers to take informed personal financial decisions. Please find enclosed consolidated information on capital gains taxation. source networkFP