Business

Demat Account and Taxation: Understanding the Implications

In the realm of financial management, Demat accounts have become indispensable tools for investors seeking convenience and efficiency in handling their securities. However, as investors leverage the benefits of Demat accounts, it is crucial to comprehend the tax implications associated with these electronic repositories for shares and other financial instruments. Check to know what is demat account? Capital Gains Tax: One of the primary tax implications of Demat accounts is related to capital gains. Capital gains arise when an investor sells a financial asset, such as stocks or mutual funds, at a profit. The profit earned is categorized into short-term...