What are the two main categories of mutual funds for tax purposes?
"Equity-Oriented Mutual Funds and Debt-Oriented Mutual Funds"
"Growth Mutual Funds and Income Mutual Funds"
"Domestic Mutual Funds and International Mutual Funds"
"Active Mutual Funds and Passive Mutual Funds"
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What is a capital gain in the context of mutual fund investments?
"Profit earned from selling a mutual fund unit for more than its purchase price"
"Income received from dividends distributed by the mutual fund"
"Interest earned on the principal invested in a debt-oriented mutual fund"
"Bonus units allocated to existing investors by the mutual fund scheme"
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How are dividends from mutual funds taxed in India?
"Dividends are tax-free for investors"
"Dividends are taxed at a flat rate of 10%"
"Dividends are taxed according to the investor's income tax bracket"
"Dividends are subject to a 20% tax with indexation benefits"
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What is the impact of holding period on the taxation of capital gains from mutual funds?
"Longer holding periods generally result in lower tax liability"
"Shorter holding periods are more tax-efficient"
"Holding period does not affect the tax rate on capital gains"
"Holding period only impacts the taxation of dividends, not capital gains"
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What is the Securities Transaction Tax (STT) applicable to equity-oriented mutual funds in India?
"0.1%"
"0.01%"
"0.001%"
"0.0001%"
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