Fund houses are planning to market their RGESS through depository participants.
IDBI Mutual Fund today said that it has received SEBI’s permission for launching IDBI Rajiv Gandhi Equity Savings Scheme – Series I (RGESS).
Under RGESS a ‘new retail investor’ who has not transacted in equity share through his/ her depository account / derivatives as on November 23, 2012, and having a gross annual income not exceeding Rs 10 lakh, would be eligible for tax savings under Section 80 CCG.
This is over and above the limit of Rs 1 lakh currently available under Section 80 C of Income Tax Act.
Many fund houses like Birla Sun Life, DSP BlackRock, HDFC, LIC Nomura, SBI and UTI have filed offer documents for launching RGESS while others have tweaked their existing schemes into RGESS.
Depository participants are being roped in to market these products.
Finance Minister P Chidambaram is expected to launch RGESS in Mumbai on February 9.
