Dividend vs Growth (IDCW)
Compare tax efficiency and wealth compounding between Growth and IDCW options.
Quick Summary: Dividend vs Growth (IDCW)
The Dividend vs Growth (now IDCW) comparison shows that Growth plans are generally more tax-efficient for long-term investors. IDCW payouts are taxed at your slab rate in FY 2026-27, whereas Growth plans benefit from LTCG rates (12.5%) and power of compounding on the entire corpus.
How to use the Dividend vs Growth (IDCW)
- 1
Select Investment Horizon
Enter the number of years you plan to hold the mutual fund units.
- 2
Input Annual Return
Set the expected annual growth rate for the fund.
- 3
Set Dividend Yield
Specify the percentage of corpus paid out as IDCW annually (if applicable).
- 4
Check Tax Impact
Review the final post-tax corpus difference between reinvesting and receiving dividends.
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Regulatory Disclaimer
Last verified May 2026
Nature:Calculator platform and is NOT a SEBI-registered Investment Adviser. All calculations are indicative.
Risk:"Investments in securities market are subject to market risks. Read all related documents carefully before investing."
Consult a SEBI-registered IA or CA for personalised advice.
9 out of 10 traders in F&O incurred net losses (SEBI 2023). Tax estimates based on IT Act 2025. Trezoriq is not liable for financial decisions based on results.