Should I add my mother as a co-owner to reduce LTCG tax?

Ans: Hello;

Source fund(debt) for STP has to be from the same fund house where your target fund(equity) belongs.

You may select liquid type debt fund for your STP, from risk and liquidity standpoint.

My suggestion would be to select funds from the top quartile in performance and from a big, reputed fund house.

Apply this yardstick to your fund selection.

To ensure neutrality of this forum, specific comments about xyz fund is generally avoided. Hope you appreciate this point.

Since kids are minor you or your spouse may have to be guardian for the minor folio and your KYC will be used to open and operate the same.

In case withdrawal is made before kids attain major status, tax implication will rest with the guardian.

Also after attaining major status fresh KYC of kids is mandatory before further contributions.

I suggest joint holding folios, for eg one folio may have kid as first investor with you as guardian and your spouse as joint/second investor and vice versa.

It may sound tedious but it's a one time thing and in the best interest of kids.

Happy Investing;
X: @mars_invest