Valura

GIFT City · IFSC

FY 2025-26
All answers
GIFT City

How am I taxed if I invest through GIFT City?

You own an Indian fund unit, not the US stock — so the harshest taxes simply don't reach you.

$0*

US estate tax — but only when the fund's underlying isn't US-domiciled (e.g. an Ireland UCITS)

For you — resident Indian

If you're a resident, your gains are still taxed in India like any global fund — but you skip the US estate-tax trap and the dividend drag is lighter.

What GIFT City removes

Direct
Via GIFT City
US estate tax
Up to 40% on US stocks above $60k
₹0 — if underlying is non-US (Ireland UCITS)
Dividend drag
25% (direct US holding)
~15% via the Ireland feeder
Indian capital gains
Resident: taxed · Non-resident: taxed on direct foreign assets
Non-resident: exempt (10(4D)) · Resident: taxed, simpler reporting
Paperwork
Schedule FA per holding
One fund line

What to do

  1. 1

    Pick an IFSC fund that's registered with IFSCA under the 2022 Fund Management Regulations.

  2. 2

    If you're a non-resident, confirm the subscription is in foreign currency to keep the 10(4D) exemption.

  3. 3

    If you're a resident, remember gains are still taxable in India — plan the holding period.

  4. 4

    Use Valura's Net Returns tool to see the 10-year difference vs direct.

Ask the AI advisor about your exact situation

It knows your profile and runs the real tax calculations — not a generic chatbot.

Illustrative only · Rules per Finance Act 2025 (FY 2025-26) · Figures are examples, not advice — confirm with a qualified CA / tax advisor before acting.