How many tax deduction and exemption benefits you get in stock investment?

Tax deduction on stock

Investing in the equity market is not only helps you to diversify your portfolio but also fetches high returns in the long term. Investing in the equity market also offers various tax exemptions and deductions which you can avail of on your stock market investments.

Investing Directly in the equity market is helpful as following :

In the stock market Dividends are calculate as tax-free but bonus shares are calculated as taxed if sold within a year. Long-term capital gains (investments held for up to 12 months) are calculated as tax-free. Short-term capital gains (investments held for less than 12 months) are taxed at 15% + 3% cess.

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