Income from Capital Gains
Particulars | Rate | Holding Condition |
Short term capital gain (Shares) | 15% | Less than 12 Months |
Long term Capital gain (Shares) upto 1 Lacs | Nil | More than 12 months |
Long term Capital gain (Shares) more than 1 Lac | 10% | More than 12 months |
Short term Capital gain (Property) | ITR slab | Less than 24 Months |
Long term Capital gain (Property) | 20% | More than 24 months |
Long term Capital gain (Unlisted Securities) | 10% | More than 12 months |
Rules
- 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.
Section 54 of Income from capital gains
Particulars | u/s 54 | u/s 54B | u/s 54EC | u/s 54F |
Who can claim | Ind/HUF | Individual | Any Person | Ind/HUF |
Eligible Assets sold | Residential Property | Agriculture Land | Any long-term capital assets | Other than Residential Property |
Assets to be acquired for exemption | Residential Property/ Plant & Machinery | Agriculture Land | Bonds of NHAI or REC | Residential Property /Plant & Machinery |
Time limit for acquiring new assets | Purchase: 1 year back or 2 years forward Construction: 3 years forward | 2 years forward | 6 months forward | Purchase: 1 year back or 2 years forward Construction: 3 years forward |
Exemption Amount | Capital gain or Investment whichever is lower | Capital gain or Investment whichever is lower | Capital gain or Investment whichever is lower (Max 50 L) | Investment / sales amt x capital gain |
“ Capital Gain deposit account scheme” apply | Yes | Yes | No | yes |
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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