How is taxation handled for the DSP Global Equity Fund?
With the DSP Global Equity Fund, the fund itself takes care of taxes on your behalf.
Here’s how it works:
● The fund is structured as a determinate irrevocable trust, and under Indian tax laws, the trustee pays taxes at the fund level and not the investor.
● This means you don’t pay tax again on the income distributed or when you redeem your units.
● Taxes are calculated daily and factored into the fund’s Net Asset Value (NAV) so the NAV you see is post-tax.
According to the DSP Fund’s official disclosures:
Short-term capital gains (STCG, < 24 months): 42.74 percent
Long-term capital gains (LTCG, ≥ 24 months): 14.95 percent