Fund Tax Glossary
Eight terms you will meet on this site. Each has its own page: meaning, analogy, flow, example, why it matters, the difference and the law.
Pass-through taxationThe fund is not taxed on its investment income; each investor is taxed on their share, as if they had made the investment directly.Read more →Tax deducted at source (TDS)Tax the payer deducts from a payment and deposits with the government on your behalf, as an advance towards your tax.Read more →Specified fundA GIFT IFSC Category III fund, retail scheme or ETF meeting the Act’s conditions, including that its units (other than the sponsor’s or manager’s) are held by non-residents.Read more →Representative assesseeA person taxed on income received on behalf of someone else, such as a trustee taxed on a trust’s income for its beneficiaries.Read more →Minimum alternate tax (MAT)A floor tax for companies: if tax on total income is below a percentage of book profit, the company pays that percentage instead.Read more →Alternate minimum tax (AMT)The minimum tax for persons other than companies that claim certain deductions, computed on income with those deductions added back.Read more →Long-term capital gainThe profit on selling a capital asset held for longer than the period the Act sets: 12 months for listed securities and equity fund units, 24 months for most others.Read more →Statement to unit holders (Form No. 78)The yearly statement an investment fund gives each person liable to tax on its income, showing their share.Read more →
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Meet the expert
CS Prashant Kumar
Company Secretary & Compliance Officer
Global Horizons Capital Advisors (IFSC) Private Limited — an IFSCA-licensed investment banker
13+ years of experienceFCS Fellow member, ICSIAuthor Audit Under Fire
Published in The Chartered Accountant (Jun 2025, Jan 2025, Mar 2024) and Chartered Secretary (Aug 2023)
Prashant Kumar is a seasoned Company Secretary and corporate governance strategist with more than 13 years of experience advising large corporates, promoter-led groups and global businesses on compliance, regulatory risk and board governance. In GIFT IFSC, the IFSCA regime is his day job rather than a research topic.