I am a local entrepreneur based around Delhi. Previously, I had invested in some growth fund of a Mutual Fund Investment. And during FY 2016-17, I shifted to ELSS scheme without redeeming for investment purposes. My mutual fund manager recommended a switch as it was "as good as" new purchase. At the same time, my employer warned me that such lateral shift to ELSS can not bring me any tax benefits.
My question is: I am not getting any tax benefit AND they get to lock my funds for the next 3 years. Is it specified in a rule that a shift to ELSS from growth funds can not be considered for tax benefit?
Jan. 12, 2018