Tax Implications of Gifting MF Units to Minors

Gifting mutual fund units to minors does not reduce your tax liability.

When the minors sell the units, the gains are added to the parent's income and taxed.

If the daughters are adults, the gains are taxed in their hands.

Losses from derivative trading can be used to offset gains from equity.

If you have a home loan and didn't claim tax benefits, the interest paid can be added to the cost of the property when you sell it.

Gratuity up to Rs 20 lakh is tax-free for non-government employees.