As any investor would agree, our investment decisions are guided not only by the features of a particular financial product or its suitability, but also by the prevailing tax provisions that the instrument is subject to. As such, like any other financial product, there are tax implications of investing in mutual fund schemes too. Different types of schemes are subject to different tax provisions. The tenure of investment is also an important factor when deciding upon one’s tax liability. Therefore, as an investor, we must have a good understanding of the relevant tax provisions, to help us plan our investments in a better manner.