Income from Capital Gains
| Nature of Assets | Tax Rate |
| Listed equity, a unit of an equity-oriented fund, and a unit of a business trust on which STT is paid | STCG- 20% |
| LTCG- 12.5% exceeding Rs 1,25,000 | |
| Listed Bonds & Debentures | STCG- As Per Slab Rate |
| LTCG- 12.5% without Indexation | |
| Debt Oriented Mutal Funds acquired Before 01.04.2023 | STCG- As Per Slab Rate |
| LTCG- 12.5% without Indexation | |
| Immovable Properties | STCG- As Per Slab Rate |
| LTCG- 20% with Indexation for acquired prior to 23.07.24 or LTCG- 12.5% with no Indexation | |
| Unlisted Shares and Other Capital Assets | STCG- As Per Slab Rate |
| LTCG- 12.5% without Indexation | |
| Unlisted Bonds & Debentures & Debt Oriented Mutal Funds acquired after 01.04.2023 | Deemed STCG (Irrespective of Holding Period)- As Per Slab Rate |
Capital Asset Holding Period
• For All Listed Securities the holding period is proposed to be 12 Months to be called Short Term Capital Asset and after that they will be Long Term Capital Asset.
• For All Other Assets (Like Immovable Property, Unlisted Shares) the holding period is proposed to be 24 Months to be called Short Term Capital Asset and after that they will be Long Term Capital Asset.
Notes:
- Shares sales purchase count in FIFO method
- Bonus share value count nil
- Expenditure incurred in connection with transfer (like stamp duty, registration charges, legal fees, brokerage etc.) are allowed as deduction.
Buy Back of Share
Any payment by a company on purchase of its own shares from its shareholders (Buy back of Shares) in accordance with the provisions of section 68 of the Companies Act, 2013 shall be consider as Deemed Dividend in the hand of Shareholder.
Capital Gain on Buy Back of Shares
• The value of consideration will be NIL in case of shares Buy Back By the company as per section 2(22)(f).
• The cost of acquiring such shares can be claimed as capital loss and can be adjusted/carried forward as per the relevant sections of the act.
• The value of consideration will be NIL in case of shares Buy Back By the company as per section 2(22)(f).
• The cost of acquiring such shares can be claimed as capital loss and can be adjusted/carried forward as per the relevant sections of the act.
Section 54 of Income from capital Gain
Conditions:
- This condition is applicable only these property which he has more than 2 years
- He can’t sale the house property for 2 years
- He can invest the capital gain amount in Ruler Electrification Corporation Ltd or National Authority for three year period within 6 months from date of transfer of asset.
- He can save up to 50 Lac capital gain by bonds scheme. If property sale in second half than we can save Rs. 50 lacs two times (being financial year change)
- If invest in property after 2 years sale, the amount compulsory to deposit in capital gain account in bank.
- If purchase deal not done in the financial year than the money deposit to capital gain saving account and fund of this account is used only for purchase of asset.
Tips: For save tax in Short term capital gain do purchase Bonus announcement Bonus Shares. Sale the base shares after received bonus shares and sales the bonus shares in next financial year
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