When I closed my ICICI DP and transferred all securities to Zerodha, MF units in demat form were also shifted. This was interpreted by Baroda MF as redemption of units and reinvestment. Therefore my 26AS statement reflects high value (over 10lac) redemption and reinvestment of funds during last financial year, even though the investment was made 2 years back. There is no movement of funds from my bank account and there is no TDS deduction by MF. I believe that this is a wrong filing of SFT done by the AMC to Income Tax authorities. Is this practice as per rules ? If not, what precaution can be taken by someone who wants to shift securities to another DP(Zerodha)?
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