The small difference between short and long term capital gains tax on equity mutual fund is giving birth to bizarre theories. One such theory is that since there is no great incentives to hold equity mutual funds for a long period, it is okay to opt for short-term investments. Currently, short term capital gains tax on equity investments held for less than one year are taxed at 15 per cent. The finance minister proposed a tax of 10 per cent on long term capital gains of over Rs 1 lakh in his budg ..