Capital Gains Tax Calculator

The capital gains rules this calculator follows

The Finance (No. 2) Act, 2024 rewrote how gains on shares, funds, property and gold are taxed. According to the CBDT's FAQs on the new regime, the changes apply to any transfer made on or after 23 July 2024. This calculator uses only those rules, so it refuses a sale date before 23 July 2024. The rates below are the ones it applies; they were checked against the Income Tax Department's pages and the CBDT FAQs published through PIB.

• Holding period. Listed securities become long term after one year, and everything else after two years. Concretely, a gain is long term when the asset was held for more than 12 months (listed shares, equity funds, listed bonds) or more than 24 months (land, buildings, gold, unlisted shares).
• Short-term gains on listed equity and equity mutual funds (section 111A): 20%.
• Long-term gains on listed equity and equity mutual funds (section 112A): 12.5% on the gain above ₹1,25,000 in a year.
• Long-term gains on other assets (section 112): 12.5% without indexation.
• Short-term gains on other assets: added to your income and taxed at your slab rate, which you choose in the calculator.
• Section 50AA: units of a specified mutual fund bought on or after 1 April 2023, and unlisted bonds or debentures transferred or redeemed on or after 23 July 2024, are treated as short term however long you held them, so they are taxed at slab rate.
• Cess of 4% is added on the tax.

How to use it

1. Pick the asset and enter the dates you bought and sold it.
2. Enter what you paid, what you sold it for, and any selling costs such as brokerage or a property agent's fee.
3. For shares and equity funds, enter other section 112A gains already booked in the same financial year, because the ₹1,25,000 exemption is for the whole year.
4. For slab-taxed gains, choose the highest slab your other income reaches.

The formula is simple: Gain = Sale value - Purchase cost - Selling expenses - Cost of improvement, then Tax = (Gain - Exemption) x Rate and Total = Tax x 1.04.

A worked example

You bought listed shares for ₹5,00,000 on 10 January 2024 and sold them for ₹8,00,000 on 15 March 2026. You held them for 26 months and 5 days, which is more than 12 months, so the ₹3,00,000 gain is long term under section 112A. Taking off the ₹1,25,000 exemption leaves ₹1,75,000. Tax at 12.5% is ₹21,875 and cess is ₹875, so you pay ₹22,750 and keep ₹2,77,250 of the gain. Had you sold after 11 months, the same gain would be short term and taxed at 20%.

Cases this calculator explains but does not compute

Land or building bought before 23 July 2024. Per the CBDT FAQs, a resident individual or HUF selling such property may work out the tax at the old 20% with indexation and pay that instead, if it is lower than 12.5% without indexation. Indexation needs the Cost Inflation Index for both years, so the calculator shows the 12.5% figure and flags that the other option exists. Compare both with your tax adviser before you file.

Debt funds. Units of a specified mutual fund bought from 1 April 2023 are always short term and taxed at your slab rate, which the last option covers. The definition of a specified mutual fund changes from 1 April 2026, so check which side of it your fund falls.

Limits

• Surcharge is not added. If your total income is above ₹50 lakh, your real tax will be higher.
• It does not set off losses, and does not apply any other exemption or relief you may be entitled to.
• It is for residents and is a planning aid, not tax advice.