What is a capital gains tax calculator?
A capital gains tax calculator estimates the tax liability on profits made from selling assets like shares, mutual fund units, debt instruments, or real estate.
Capital gains are split into short-term (STCG) and long-term (LTCG) depending on how long you held the asset before selling. The tax rates and exemption limits differ for each class under Indian income tax laws.
How are capital gains taxed in India?
Taxation depends on the asset type and holding period. Below is a summary of rules following the recent Budget 2024 revisions:
- Equity (Listed Shares/MFs): Held up to 12 months is STCG (taxed at 20%). Held over 12 months is LTCG (taxed at 12.5% on gains exceeding ₹1.25 lakh per year).
- Real Estate (Property): Held up to 24 months is STCG (taxed at your income tax slab rate, default 30% modeled). Held over 24 months is LTCG (taxed at 12.5% without indexation).
- Debt & Other Assets: Held up to 36 months is STCG (taxed at slab rate). Held over 36 months is LTCG (taxed at 20% without indexation).
How to use this capital gains calculator
Enter your purchase price and selling price. Choose the holding period in months and select the asset type. The calculator instantly computes your gross gains, taxable amount, tax rate, tax liability, and net proceeds.
To compare other personal income tax liabilities, use the income tax calculator. For trade-specific charges like STT and stamp duty, use the brokerage calculator.
Frequently asked questions
What is the holding period for long-term equity capital gains?
For listed equity shares and equity-oriented mutual funds, a holding period of more than 12 months qualifies as long-term. Under 12 months is classified as short-term.
Is there any tax exemption on equity LTCG?
Yes. Long-term capital gains on listed equity and equity mutual funds are exempt up to ₹1.25 lakh in a financial year. Tax at 12.5% is charged only on gains above this limit.
How is real estate LTCG calculated?
For properties held for more than 24 months, LTCG is taxed at 12.5% without indexation benefits for sales after July 23, 2024.