Securing Hannav Ledger...
Securing Hannav Ledger...
Glossary
A grandfathering clause preserves the old tax treatment for investments made before a rule change, applying new rules only prospectively to future transactions.
A rule that protects your old investments from a new tax law, applying the new rule only going forward.
Notable examples include the 31 Jan 2018 grandfathering for LTCG on equity and the pre-April-2023 grandfathering discussions for debt fund indexation.
Equity shares bought before 31 Jan 2018 use the grandfathered price for computing LTCG, protecting earlier gains from retrospective tax.
A rule that protects your old investments from a new tax law, applying the new rule only going forward.
Grandfathering Clause (Tax) helps you evaluate products, compare options, and make informed decisions aligned with goals, tax rules, and risk tolerance in the Indian financial system.