Aditya Bhattacharya Comments on Tax Changes Impacting Dividend and MF Investments in Business Standard 

In a recent article titled “Budget tax change weighs on dividend, MF investments made on borrowed money” published by Business Standard, Aditya Bhattacharya, shared his analysis of the latest tax amendments introduced under Budget 2026. 

Commenting on the revised treatment of interest deductions against dividend and mutual fund income, Aditya stated: “The change aligns with the broader intent to rationalise tax benefits and curb mismatch claims, signalling a stricter approach towards leveraging interest deductions against passive investment income.” 

He highlighted that the amendment reflects the Government’s move toward tightening the tax framework around leveraged investments, particularly where borrowed funds are used to generate passive income streams such as dividends and mutual fund returns. The measure is expected to reduce aggressive tax planning strategies that rely on interest set-offs, while enhancing consistency in the treatment of investment income. 

The reform highlights a broader policy direction focused on rationalising deductions, preventing revenue leakage, and strengthening compliance standards in India’s evolving tax landscape. 

For detailed insights read more at: https://www.business-standard.com/budget/news/budget-tax-change-weighs-on-dividend-mf-investments-made-on-borrowed-money-126020100687_1.html