What are the capital gains tax rates on shares and equity funds?

For transfers on or after 23 July 2024: short-term gains (held 12 months or less) are taxed at 20 percent under Section 111A, and long-term gains (held more than 12 months) at 12.5 percent under Section 112A, with the first ₹1,25,000 of long-term gains in a year exempt. Both rates apply only where STT was paid; surcharge and 4 percent cess are added on top.

Is the ₹1.25 lakh exemption per transaction or per year?

Per financial year, across all your equity and equity-fund long-term gains combined. Gains up to that amount are not taxed; only the excess is taxed at 12.5 percent. It cannot be carried forward if unused.

How is the holding period counted?

From the date of purchase to the date of sale, with 12 months as the dividing line for listed equity shares and equity-oriented mutual funds. For SIP units, each instalment has its own purchase date; FIFO applies when you redeem part of a holding.

What about grandfathering for shares bought before 2018?

For equity bought before 1 February 2018, the cost of acquisition is taken as the higher of the actual cost and the fair market value on 31 January 2018 (capped at the sale price). Enter that stepped-up figure as the purchase price if it applies; the calculator does not look up historical prices.

Can I set off losses?

Short-term capital losses can be set off against any capital gain; long-term losses only against long-term gains. Unabsorbed losses carry forward for eight years if the return is filed on time. The calculator shows a single transaction; set-off is applied in the return.

Capital Gains Tax Calculator

Tax on the sale of listed shares and equity mutual funds, with the 12-month holding test and the ₹1.25 lakh long-term exemption.

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Purchase cost (₹)

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Sale value (₹)

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Purchase date

Sale date

Listed equity shares and equity mutual funds with STT paid. More than 12 months = long-term.

LTCG exemption already used this year (₹)

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₹1,25,000 per financial year across all equity LTCG.

Add 4% cess

Surcharge, where applicable, is not included.

Tax on this sale

Holding period

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Capital gain

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Taxable gain

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Tax @ 20%Section 111A

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Tax incl. 4% cess

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Indicative only. Listed equity and equity-oriented funds with STT paid, transfers on or after 23 July 2024: 20% STCG (111A), 12.5% LTCG above ₹1.25 lakh (112A). Surcharge, grandfathering and loss set-off are not applied.

How it works

Holding period

More than 12 months from purchase to sale is long-term; otherwise short-term.

Rates

20% short-term. 12.5% long-term on gains above ₹1.25 lakh for the year.

Cess

4% health and education cess on the tax; surcharge above ₹50 lakh income is separate.

The tax on one share or fund sale, before you sell

Enter what you paid, what you received and the two dates. The calculator classifies the gain by holding period, applies the ₹1.25 lakh annual exemption to long-term gains after whatever you have already used, and shows the tax at the current rates. It is for listed equity and equity funds; property, debt funds and unlisted shares follow different rules.

Post-July 2024 rates

The Finance (No. 2) Act 2024 rates: 20% and 12.5%.

Exemption tracking

Tell it how much of the ₹1.25 lakh you have used this year.

Losses flagged

A loss shows the set-off and carry-forward rules instead of a tax.

Equity only

Use the stepped-up 31 January 2018 cost yourself for grandfathered holdings.