Capital Gains on transfer of Mutual Funds from Broker to COIN Account

Income Tax
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Hi @TeamQuicko,

I have been investing since 2012 in multiple Mutual Fund which were done with several agents (basically friends and relatives). It is hard for me to keep a track of my entire portfolio and would like to shift the same to COIN App to have a single view and control over my portfolio.
Can I do a direct transfer to COIN without selling off the units and booking Capital Gains on the same? Or do I need to sell the units with the Agents and then re-purchase the same from COINS App?
How will the taxation be treated in case I need to sell the units. As those are all SIPs, the date of purchase will be varied over several years.
If I sell the units and re-invest the proceeds to buy Mutual Funds immediately, will I get an exemption on Capital Gains? I know there is a similar provision for House Property for tax harvesting but not sure about the same for Equity and Mutual Funds.
It would be great if you could provide some more clarity on my questions along with the relevant Income Tax Sections and Rules.
Thanks!

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2 posts were merged into an existing topic: Taxes on Debt Mutual Funds from FY 2023

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Hey @Kinjal_Shah,

Here’s a read on the transfer of mutual funds to COIN:

With regards to tax implications, in case you sell the mutual funds, capital gains tax will be applicable. For funds held for more than 1 year, LTCG tax will be applicable at 10% and in cases where the holding period is less than 1 year, STCG tax at 15% will be applicable.

An exemption of ₹1 lakh is applicable on long-term capital gains.
Moreover, if you reinvest the LTCG in a house property, u/s 54F you can claim an exemption. However, if you reinvest in mutual funds itself, the exemption would not be allowed.

Hope this helps!

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