Thanks a lot Amit,
Quoting a para from the article: “If a REIT or InvIT had an issue price of ₹100 and in 2024, the amount distributed (as capital repayment) was ₹20, there will be no tax on this since it is lower than the issue price. If in future the trust’s cumulative distribution becomes ₹110, then ₹10 is taxed in the hands of the unitholder. If in the subsequent year the amount increases to ₹130, then tax will be on ₹20, since tax has already been paid on ₹10 in the previous year.”
What does cumulative mean? Is it cumulative sum of capital repayment since the year of listing >100 OR capital repayment in that standalone year only >100. I am assuming its the former (as it mentions the word cumulative). If that is the case wouldnt it reach threshold faster?
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