God ETF & SGB Tax

Taxation
1

I have certain amount of Gold ETF and SGB and in profit and to get tax benifit can I transfer those ETF and SGB to my mother demat account?
have profit in LTGC and STGC through some idea how to reduce in tax?
@Quicko

2

any update on above @Quicko @siva

3

SGB is tax free if you hold till maturity

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4

Hello @Ravi_Shankar ,

Transfer of shares from a son to his mother is tax free. Therefore your mother will not have to pay any tax for receiving these shares. But when she sells these Gold ETF or SGB from her account, she will have to pay tax on the profit earned. Her cost of purchase and holding period will be the same as yours.

Now, regarding your query related to saving taxes on LTCG and STCG. You get an exemption of ₹1.25L on your LTCG from equity shares or mutual funds. Moreover, if you have purchased or constructed any house property then you can claim the exemption of the cost of property against the LTCG earned. This is prescribed under provision 54F.

There are no specific deductions or exemptions available against your STCG income.

5

So let say if I am transferring some GOLD ETF to mother account and she also can avail LTGC 1.25L per year I am right?

6

Do you mean ltcg from gold etf/ sgb can be set off against property purchase cost?

7

Hi @asen,

If you have long-term gains from gold ETF/SGBs and reinvest the proceeds into a house property, you can claim an exemption u/s 54F.

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