LTCG and STCG on listed equity, mutual funds, and property under FY 2026-27 rules.
Long-term threshold: 12 months for listed equity/equity funds, 24 months for property and most other assets.
Total tax payable (incl. 4% cess)
₹22,750.00
Section 112A — LTCG on listed equity
After the July 2024 overhaul, Indian capital gains tax comes down to four inputs, and getting the first two right settles most of the answer: what you sold (listed equity vs property vs everything else), how long you held it, the gain itself, and — for a couple of cases — your income slab. The calculator maps these to the correct section automatically, but knowing the logic stops you from mis-estimating by tens of thousands of rupees.
Say you sell listed shares for ₹8,00,000 that cost ₹5,00,000, held for more than a year — a ₹3,00,000 long-term gain. The first ₹1,25,000 is exempt, leaving ₹1,75,000 taxable at 12.5%, which is ₹21,875, plus 4% health-and-education cess of ₹875 — a total of ₹22,750, so you keep ₹2,77,250 of the gain. Now hold the identical shares for under a year instead: the whole ₹3,00,000 is short-term, taxed at a flat 20% (Section 111A) with no exemption, giving ₹60,000 plus ₹2,400 cess — ₹62,400. Same shares, same profit, nearly three times the tax, decided only by the calendar. That gap is the single most valuable thing this page shows.
For assets bought on or after 23 July 2024, indexation — the old inflation adjustment to purchase cost — was removed, and long-term rates were standardised at 12.5%. Property bought before that date keeps an optional route: resident individuals may choose 20% with indexation if it produces a lower tax. This calculator shows the 12.5% without-indexation figure, and it deliberately does not model surcharge on very high incomes, set-off of capital losses, or the reinvestment exemptions under Sections 54, 54F, and 54EC — any of which can change what you actually owe. For where these gains sit alongside salary and other income, the FY 2026-27 income tax slabs give the full picture; treat the number here as the pre-relief starting point and confirm the specifics with a professional before you file.
For listed equity and equity mutual funds, short-term gains (holding up to 12 months) are taxed at 20%, and long-term gains (over 12 months) at 12.5% on the amount above the ₹1.25 lakh annual exemption. A 4% health and education cess applies on the tax.
Long-term capital gains on property (held over 24 months) are taxed at 12.5% without indexation. For property acquired before 23 July 2024, resident individuals may instead choose 20% with indexation if that is lower. Short-term property gains are taxed at your income slab rate.
Yes. Long-term capital gains on listed equity and equity mutual funds are exempt up to ₹1.25 lakh per financial year; only the excess is taxed at 12.5%.
For most assets acquired on or after 23 July 2024, indexation was removed and the LTCG rate set at 12.5%. Pre-23 July 2024 property retains an optional 20%-with-indexation route.
Listed equity shares and equity mutual funds turn long-term after 12 months. Property and most other assets — gold, unlisted shares, debt funds — need 24 months. Selling even a day earlier puts you in the higher short-term bracket.
It is an annual exemption on long-term gains from listed equity and equity funds combined. If your total equity LTCG in a financial year is ₹1.25 lakh or less, you pay nothing; only the excess is taxed at 12.5%. It resets each year, which is the basis of “tax harvesting”.
The rules deliberately reward longer holding. Short-term equity gains (Section 111A) are taxed at a flat 20% regardless of your slab, while long-term gains (Section 112A) get both a lower 12.5% rate and the ₹1.25 lakh exemption — a large gap that often makes waiting past 12 months worthwhile.
Yes — Sections 54, 54F, and 54EC let you defer or exempt long-term gains by reinvesting in a residential house or in specified bonds within set time limits. These exemptions are not modelled here; this tool shows the tax before any reinvestment relief.
Last reviewed: June 28, 2026
This calculator provides planning estimates based on the assumptions shown on this page.
Planning estimate, not tax advice. Surcharge, indexation choices, exemptions (54/54F/54EC), and loss set-off can change the result. Confirm with a professional.