IDCW

Income Distribution cum Capital Withdrawal (IDCW) is the renamed 'Dividend' option in mutual funds. Periodically, the fund pays out a portion of the NAV to investors — but this is not income; it's a return of your own capital, with corresponding NAV drop.

IDCW payouts are added to your taxable income at slab rate (no LTCG concession). For long-term wealth accumulation, the Growth option is almost always superior because compounding stays uninterrupted.