Capital Gains Tax Summary
| Asset Type | Equity |
| Purchase Value | ₹25,000 |
| Sale Value | ₹1,00,000 |
| Holding Period | 14 months (1 year 2 months) |
| Gain Type | LTCG (Long-Term Capital Gain) |
| Total Capital Gain | ₹75,000 |
| Exempt Amount | ₹75,000 |
| Taxable Gain | Nil |
| Tax Rate | 10% + 4% cess |
| Capital Gains Tax (inc. cess) | Nil |
Calculate Your Capital Gains Tax
Enter your purchase price, sale price, dates, and asset type to get your exact tax liability.
Use Capital Gains CalculatorFrequently Asked Questions
What is LTCG and STCG for equity?
For equity shares and equity mutual funds: gains from holding > 12 months are Long-Term Capital Gains (LTCG), taxed at 10% on gains above ₹1 lakh per year (with no indexation). Gains from holding ≤ 12 months are Short-Term Capital Gains (STCG), taxed at 15%. Both rates include 4% cess.
Is the ₹1 lakh LTCG exemption per year or per transaction?
It is per financial year (April–March). All LTCG from equity across all your transactions in a year are added together, and the first ₹1 lakh is exempt. If your total equity LTCG in FY 2025-26 is ₹2.5 lakh, only ₹1.5 lakh is taxed at 10%.
Can I harvest LTCG to use the ₹1 lakh exemption every year?
Yes, this is called 'tax loss harvesting' or 'LTCG harvesting'. Before March 31 each year, you can sell equity holdings with up to ₹1 lakh unrealised LTCG and immediately rebuy — booking gains tax-free. This resets your cost basis and avoids future tax on those gains.
What is Securities Transaction Tax (STT)?
STT of 0.1% is charged on equity delivery trades (buy + sell). It is separate from capital gains tax. STT paid can be used to offset STCG tax in some cases. For this scenario, STT on the transaction is approximately ₹100.
How do I report capital gains in ITR?
Report in ITR-2 or ITR-3 (not ITR-1). LTCG from equity goes in Schedule 112A. STCG from equity goes in Schedule CG under Section 111A. Your broker (Zerodha, Groww, etc.) provides a Capital Gains Statement that can be directly imported into the ITR portal.