What is the new LTCG tax exemption on listed shares and equity mutual funds?

Under amended Section 112A (effective 23 July 2024), LTCG on listed equity shares and equity-oriented mutual funds is exempt up to ₹1,25,000 per financial year (increased from ₹1,00,000). Gains exceeding ₹1.25 Lakh are taxed at 12.5%.

How does property grandfathering work for real estate acquired before 23 July 2024?

For immovable property (land or building) acquired by resident individuals/HUFs prior to 23 July 2024, taxpayers can compute tax under both options: (1) 12.5% without indexation, or (2) 20% with indexation, and pay whichever tax amount is lower.

What is the holding period for classifying shares and real estate as long-term?

Effective 23 July 2024, the holding period for listed securities is 12 months. For all other assets, including unlisted shares and immovable property (real estate), the statutory holding period is 24 months.

Tax & Compliance Tools

Capital Gain Tax Calculator Pro

STCG & LTCG Calculation under Sections 111A, 112A, 112 & 50AA with post July 2024 rates

Asset & Transaction Details

Select capital asset category, key transaction dates, consideration value, and costs to compute STCG / LTCG and tax liability under Finance (No. 2) Act, 2024 rules.

Asset Category *

Select asset type to load applicable holding-period thresholds and statutory tax rates.

Holding Period & Key Dates

Date of Purchase / Acquisition *

Date of Sale / Transfer *

Financial Consideration & Costs (₹)

Full Value of Consideration (Sale Price)

Cost of Acquisition (Purchase Price)

Cost of Improvement

Expenditure on Transfer / Brokerage

Securities Transaction Tax (STT) Paid on Transfer?

STT payment is required to avail beneficial concessional rates under Section 111A (20%) and Section 112A (12.5% on gain > ₹1,25,000).

Capital Gain OutputLong Term (LTCG)

Total Capital Gain Tax Payable (Section 112A)

₹9,100.00

12.5% Statutory Tax Rate + 4% Health & Education Cess

Net Gain₹1,95,000.00

Holding Period18 Mos

SectionSection 112A

Taxable Base₹70,000.00

Detailed Computation & Cost Breakdown

Computation Line Item	Amount (₹)
Full Value of Sale Consideration	₹5,00,000.00
Less: Transfer Expenses (Brokerage, Stamp Duty, etc.)	-₹5,000.00
Net Sale Consideration	₹4,95,000.00
Less: Cost of Acquisition	-₹3,00,000.00
Net Capital Gain / (Loss)	₹1,95,000.00
Less: Aggregate Exemption Threshold (Section 112A)	-₹1,25,000.00
Taxable Capital Gain	₹70,000.00

Capital Gain Tax Calculator Pro

STCG & LTCG Calculation under Sections 111A, 112A, 112 & 50AA with post July 2024 rates (Section 112A)

Total Capital Gain Tax

₹9,100.0012.5% + 4% Cess

Gain Classification

Long Term (LTCG)18 months holding

Net Capital Gain

₹1,95,000.00

Taxable Gain Base

₹70,000.00Section 112A

Input Parameters & Statutory Assumptions

Asset Categorylisted_equity

Acquisition Date15/01/2023

Transfer Date10/08/2024

Statutory SectionSection 112A

Statutory Tax Rate12.5%

1. Financial & Cost Basis BreakdownGross Consideration, Allowable Transfer Expenses & Acquisition Cost

Particulars / Line Item	Statutory Reference / Formula Notes	Amount (₹)
Full Value of Consideration (Gross Sale Price)	Gross transaction consideration agreed/received	₹5,00,000.00
Less: Transfer Expenses	Section 48(i) allowable transfer / brokerage costs	- ₹5,000.00
Less: Acquisition & Improvement Cost	Base acquisition cost & allowable improvement expenses	- ₹3,00,000.00
Net Capital Gain / (Loss)	Before Section 112A threshold / exemptions	₹1,95,000.00
Less: Section 112A Exemption	Section 112A ₹1,25,000 statutory equity LTCG relief	- ₹1,25,000.00
Taxable Capital Gain Base	Base amount on which statutory tax rate applies	₹70,000.00
TOTAL ESTIMATED CAPITAL GAIN TAX	Section 112A	₹9,100.00

Statutory References & Legal Context

• Finance (No. 2) Act, 2024 rationalized LTCG holding periods to 12/24 months and unified long-term rates to 12.5% with enhanced ₹1.25 Lakh exemption under Section 112A.

Professional Legal & Taxation Advisory

Need Professional Assistance with Departmental Filings, Notices, or Tax Planning?

Consult directly with Adv. Sachin Kumar Mishra (SKM Laws And Associates) for filing validation, notice response, and litigation representation.

WhatsApp • Call

+91 7007756899

skmlaws.in

Statutory Legal Disclaimer • SKM Laws And Associates: This capital gain report is prepared for statutory advisory and planning under the Income-tax Act, 1961. For detailed capital gains exemption planning under Section 54/54EC/54F, consult SKM Laws And Associates.

Professional Advisory

Need Professional Assistance with Departmental Filings, Notices, or Tax Planning?

Calculations provide indicative statutory estimates. For departmental filings, notice resolution, and custom tax planning, consult directly with SKM LAWS AND ASSOCIATES.

WhatsApp SKM LAWS AND ASSOCIATES Explore Income Tax Advisory

Legal Knowledge Centre