The finance ministry today allowed both ETFs and mutual funds to be a part of Rajiv Gandhi Equity Scheme (RGESS). First time retail investors can invest up to Rs 50,000 in the equity market through RGESS and avail 50 percent tax benefit on investment. Only investors whose salary is less than Rs 10 lakh are eligible for this scheme.
Mutual funds and ETFs that invest in shares under BSE 100 or CNX or those of PSUs which are Navratnas, Maharatnas and Miniratnas would be eligible for investment under RGESS. Such mutual funds and ETFs will have to be listed and traded in the stock exchanges and settled through a depository mechanism
According to the Ministry of Finance press release, first time investors are those who have opened the de-mat account but have not made any transaction in equity or derivatives till the notification of the scheme and all those account holders other than the first account holder who wish to open a fresh account.
To encourage small investors, the ministry has allowed a provision of investing in instalments in a year in which the tax claims are made. Investors will have to lock-in their investments for minimum three years, including an initial lock-in of one year in the stock/ETF/MF in which the money has been invested. The scheme will be operational in the next two weeks.
for more info pls call at 9810232830
Mutual funds and ETFs that invest in shares under BSE 100 or CNX or those of PSUs which are Navratnas, Maharatnas and Miniratnas would be eligible for investment under RGESS. Such mutual funds and ETFs will have to be listed and traded in the stock exchanges and settled through a depository mechanism
According to the Ministry of Finance press release, first time investors are those who have opened the de-mat account but have not made any transaction in equity or derivatives till the notification of the scheme and all those account holders other than the first account holder who wish to open a fresh account.
To encourage small investors, the ministry has allowed a provision of investing in instalments in a year in which the tax claims are made. Investors will have to lock-in their investments for minimum three years, including an initial lock-in of one year in the stock/ETF/MF in which the money has been invested. The scheme will be operational in the next two weeks.
for more info pls call at 9810232830
