Jul 28, 2022
Income Tax Return: LTCG on equities up to Rs 1 lakh is tax free, but you may still end up paying tax
Shanta Chatterjee (name changed) is a senior citizen lady getting a family pension. To save taxes, she reduced her investments in bank fixed deposit (FD) and invested in an Equity Linked Savings Scheme (ELSS) on a regular basis for some years, till the interest on FD fell below the taxable limit.
However, with the appreciation in family pension, her gross income again became over Rs 5 lakh.