https://www.taxtmi.com/forum/issue?id=121016 Direct holdings in U.S.-listed ETFs, including BSV and BND, are described as outside the specified mutual fund framework under Section 50AA. Although these ETFs invest in bonds, the transferred asset is the ETF unit, not the underlying bonds, and the units are not thereby treated as market-linked debentures. Section 50AA therefore cannot be applied solely because the portfolio contains debt securities. If individual U.S. Treasury or corporate bonds were transferred instead, applicability would require separate examination based on the legal nature of the instrument actually sold. en-us Sat, 11 Jul 2026 13:58:12 +0530 Mon, 13 Jul 2026 17:55:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=121016 Direct holdings in U.S.-listed ETFs, including BSV and BND, are described as outside the specified mutual fund framework under Section 50AA. Although these ETFs invest in bonds, the transferred asset is the ETF unit, not the underlying bonds, and the units are not thereby treated as market-linked debentures. Section 50AA therefore cannot be applied solely because the portfolio contains debt securities. If individual U.S. Treasury or corporate bonds were transferred instead, applicability would require separate examination based on the legal nature of the instrument actually sold. Discussion-Forum Income Tax Sat, 11 Jul 2026 13:58:12 +0530 https://www.taxtmi.com/forum/issue?id=121016