n NISM Certifications
NSM General NISM
Medium

What is the key difference between a Switch and a Change of Broker in terms of tax implications?

Practice question from B13-S7 Operations Mastery — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Both trigger capital gains tax equally

  2. Switch triggers capital gains tax; COB does not

    Correct answer

  3. C

    COB triggers capital gains tax; Switch does not

  4. D

    Neither has any tax implications

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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