Before You Gift Mutual Funds, Know These Tax Rules
Last Update Date: 06-10-2026
Published by Outlook Money
Abhishek Kumar's role: Quoted
Abhishek Kumar explained that gifting does not reset the holding period, that gains on gifts to a spouse or minor child are clubbed back with the giver's income, and that gifts above ₹50,000 to people outside close family are taxed as the receiver's income.
More of Abhishek's views on mutual funds
The article sets out the tax rules on gifting mutual fund units. It explains that the holding period carries over to the receiver, that debt fund gains can escape tax under the Section 87A rebate while equity gains cannot, that clubbing applies to gifts to a spouse or minor, and that gifts above ₹50,000 to non-relatives are taxed.
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Before You Gift Mutual Funds, Know These Tax Rules