Hello,
If we invest in MF through SIP monthly 10K (or yearly 1.2L) for say 12 years for some long-term perspective which is happening after 20-22 years from now. Then would tax-loss or tax-profit harvesting make any sense/useful (assuming the fund is not outperforming etc. or we are not bothering/comparing its performance etc. with others)?
(Note: Read this article to know about tax harvesting: Tax Loss Harvesting: How to Save Tax by Tax Harvesting)
To add more details to my question, in other words: If after 2-3 years the investment of say 2.5L becomes 3.4L then booking profits of 90K being tax-free and reinvesting it on the same day (just suppose) the entire 3.4L and repeating the same process after every 1-2 years for 10 years and then during 20th-22th years the final redemption(s) then would this process of booking profits to take benefit of LTCG (tax-free up to 1 Lakh) make any difference/impact (as every time we are reinvesting entire funds and goal is to keep invested for long term)?
Thanks.