Parag Parikh Flexi Cap Fund's new IDCW option: See how it can significantly reduce your tax burden

Last Update Date: 06-10-2026

Published by Mint

Abhishek Kumar's role: Quoted

Abhishek Kumar pointed out that tax is deducted at source once annual dividends cross ₹10,000, even for those under the ₹12 lakh limit. To avoid this, he said, eligible investors can file Form 15G or 15H with the fund house.

A large flexi-cap mutual fund has added an IDCW option, which pays out income or capital withdrawals periodically. The article explains how such payouts are taxed at slab rates, why that can help investors with total income within the rebate limit, and the caveats raised by tax professionals about variable payouts.

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Parag Parikh Flexi Cap Fund's new IDCW option: See how it can significantly reduce your tax burden

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