Debt is not bad as long as you plan your Finances well !!!

After all, Debt is not bad always. It all depends how well you plan your finances.

Long Term gains in Debt Mutual Funds - Calculate tax with Cost Inflation Index !

For fellow Indian Investors, who have long term gains with the sale of Debt Mutual Fund Units, you got to pay either 10% of LT Gains (or) 20% of  LT gains post Indexation benefits - whichever is lower as Tax (along with applicable cess, surcharge).

Given the higher inflation range these days, typically 20% of  LT gains post Indexation benefits will be the lower one compared to the other.

To know Cost Inflation Index for the year 2010-11, 2011-12 please refer to the following link

http://taxguru.in/income-tax/cost-inflation-index-meaning-and-index-for-all-the-years.html