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Capital Gains Tax Calculator

Calculate LTCG and STCG tax on equity, mutual funds, real estate, and gold as per Indian tax rules.

LTCG (>1 yr) - 12.5% above ₹125K exemption

Capital Gains

₹1.00 L

Exemption

₹1.25 L

Tax Payable

₹0

Net Profit

₹1.00 L

Based on Indian tax rules post-Budget 2024. Consult a tax advisor for exact liability - costs of acquisition, improvement, and brokerage may be deductible.

About the Capital Gains Tax Calculator

Budget 2024 made significant changes to capital gains tax in India: equity STCG jumped from 15% to 20%, LTCG raised from 10% to 12.5% but the exemption limit increased from ₹1L to ₹1.25L, and indexation for real estate was removed for sales after July 2024. Understanding these rates is essential for tax-efficient investing, especially when deciding when to sell, which assets to sell first, and how to harvest tax losses.

Capital Gains Tax (Post Budget 2024)

STCG Tax: Equity (held ≤1 yr) = 20% · LTCG Tax: Equity (held >1 yr) = 12.5% on gains above ₹1.25L exemption

Equity/MF LTCG holding period: >1 year · Real estate LTCG holding period: >2 years · Debt MF: taxed as per income slab (no LTCG benefit after April 2023) · Real estate LTCG: 12.5% without indexation

Worked Example

Sold equity mutual fund: bought ₹5L, sold for ₹9L after 2 years

Purchase value:₹5,00,000
Sale value:₹9,00,000
Holding period:2 years (LTCG)
Tax rate:12.5% on gains above ₹1.25L

LTCG = ₹4,00,000 · Exempt: ₹1,25,000 · Taxable gain = ₹2,75,000 · Tax = 12.5% × ₹2,75,000 = ₹34,375

Tips & Insights

  • 1

    Use the ₹1.25L LTCG exemption every financial year by booking profits and reinvesting - this is legal tax harvesting.

  • 2

    Tax-loss harvesting: sell loss-making investments before March 31 to offset gains from profitable ones.

  • 3

    Debt mutual fund gains are now taxed at slab rate - for high earners, PPF and tax-free bonds are better alternatives.

  • 4

    Equity LTCG is calculated without cost indexation - timing the sale matters less than simply holding over 1 year.

  • 5

    For real estate, you can choose between old regime (20% with indexation, for properties bought before July 2024) and new regime (12.5% without indexation).

Why this matters for you

With equity STCG now at 20%, short-term trading is significantly more expensive. A ₹1L profit from a stock held for 11 months costs ₹20,000 in tax; held for 13 months, it costs ₹0 (under the ₹1.25L exemption). These are the kinds of calculations that directly affect post-tax returns, making understanding capital gains tax one of the highest-value financial skills for Indian investors.

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