Capital Gains Tax Calculator
Which type of gold? The holding period for LTCG differs by instrument.
Property acquired before 23 July 2024? You can choose between two methods. We compare both and show which saves more tax.
Estimate only. Actual tax may change due to surcharge, marginal relief, slab regime, other income, and loss set-off.
What is capital gains tax in India?
Capital gains tax applies when you sell a capital asset for more than you paid. The rate depends on the asset type and how long you held it.
- Long-term (LTCG): Held 12+ months for equity; 24+ months for property and gold. Taxed at a flat lower rate.
- Short-term (STCG): Sold before the threshold. No exemption; full gain taxed at flat rate or slab rate.
How to use this calculator
Results update live as you type. No Calculate button needed.
- Select asset type: Stocks/ETF, Equity MF, Debt MF, Property, or Gold.
- Enter prices: Purchase and sale amounts in Indian number format.
- Set dates: Holding period and gain type are classified automatically.
- Read the result: Rate, taxable amount, tax, and cess. Property shows both indexation options.
- Save it: Download a PNG or copy plain-text to share with your CA.
How the tax is computed, by asset
- Listed equity / ETF: 12+ months is LTCG at 12.5% (above ₹1.25 lakh exemption). Under 12 months is STCG at 20%. STT required.
- Equity mutual fund: Same as listed equity for funds with 65%+ domestic equity. International funds and fund-of-funds are treated differently.
- Debt mutual fund (post 1 Apr 2023): All gains at slab rate under Sec 50AA, regardless of holding period. Pre-April 2023 units may qualify for old LTCG rules if held 36+ months.
- Property: Under 24 months is STCG at slab rate. 24+ months is LTCG at 12.5%. Pre-23 Jul 2024 purchases can also opt for 20% with indexation; calculator shows both.
- Gold: 24+ months is LTCG at 12.5%; under 24 months is STCG at slab rate. ETFs on exchange: 12-month threshold. Sovereign Gold Bonds held to maturity are exempt.
Capital gains tax rates, FY 2025-26
Finance (No. 2) Act 2024 and CBDT Notification 70/2025. Add 4% Health & Education Cess on every amount.
| Asset | Long-term after | LTCG rate | STCG rate | Exemption |
|---|---|---|---|---|
| Listed equity / Equity ETFSection 112A / 111A | 12 months | 12.5% | 20% | ₹1.25 lakh per FY |
| Equity mutual fund65%+ domestic equity | 12 months | 12.5% | 20% | ₹1.25 lakh per FY |
| Debt mutual fundPost 1 Apr 2023, Sec 50AA | Not applicable | Slab rate | Slab rate | Nil |
| Immovable propertyLand or building | 24 months | 12.5% (or 20% with indexation, if acquired pre 23 Jul 2024) | Slab rate | Sec 54 / 54F / 54EC |
| GoldPhysical, digital, gold MF, gold ETF | 24 months (12 for ETFs) | 12.5% | Slab rate | Nil (SGB maturity exempt) |
Grandfathering for pre-2018 equity (Section 112A)
Bought listed equity or equity MFs before 1 February 2018? Gains accrued up to 31 January 2018 are not taxable. Only post-2018 appreciation counts.
Deemed Cost = Higher of (actual purchase price, Lower of (FMV on 31 Jan 2018, sale price))
- If FMV is higher than your actual cost, FMV replaces your cost, shielding pre-2018 gains from tax.
- If FMV is lower than your actual cost, the actual purchase price is used with no step-up.
- If the sale price falls below both, grandfathering does not inflate the capital loss.
To find FMV on 31 Jan 2018: listed shares/ETFs, use the highest price on NSE or BSE that day (NSE End-of-Day or BSE Bhavcopy). Equity MF units, use the NAV for that date on AMFI's portal or your CDSL/NSDL CAS. Enter FMV per unit in the calculator; quantity goes in the adjacent field.
Worked examples
Three real-number scenarios showing exactly how the calculator arrives at your tax figure.
Selling listed shares after 18 months
Selling property bought in FY 2014-15 (CII 240)
Indexation saves approx. ₹78,400 here. The calculator flags the better option automatically for pre-July 2024 purchases.
Selling physical gold held for 10 months
Waiting until the 24-month mark would tax the same gain at 12.5% flat instead of your slab rate, saving ₹2,100 at 30% bracket.
Exemptions you can claim
Reinvest LTCG proceeds from a property sale correctly and reduce or eliminate the tax entirely.
Section 54
Sold a house, buying another house. LTCG exempt if reinvested in one residential property in India, within the specified window.
How Sec 54 worksSection 54F
Sold any long-term asset except a house, buying a house. Full exemption if the entire net consideration is reinvested.
How Sec 54F worksSection 54EC
Invest up to ₹50 lakh of LTCG into NHAI or REC bonds within 6 months. Tax on that portion is exempt.
How Sec 54EC worksHow to reduce capital gains tax legally
Six strategies worth checking before you sell any asset in FY 2025-26:
- Annual tax harvesting: Book up to ₹1.25 lakh in equity gains before 31 March. Repurchase immediately to reset cost basis at no tax cost (no wash sale rule in India).
- Wait for the long-term threshold: 12 months for equity, 24 months for property and gold. Just crossing it drops the rate from 20% to 12.5%.
- Set off losses: Short-term losses offset any gain; long-term losses offset only LTCG. Carry forward up to 8 years if ITR is filed on time.
- Reinvest property LTCG: Reinvest in another house (Sec 54/54F) or NHAI/REC bonds up to ₹50 lakh within 6 months (Sec 54EC) to claim exemption.
- Prefer gold ETFs: ETFs qualify for LTCG after 12 months vs 24 months for physical gold. Same 12.5% rate, shorter wait.
- Check grandfathering: FMV on 31 Jan 2018 may step up your cost and reduce taxable gain on pre-2018 equity holdings. Often missed.
FAQs
1. What is the LTCG tax rate on equity in FY 2025-26?
Long-term capital gains on listed equity and equity-oriented mutual funds are taxed at 12.5% under Section 112A, on gains above the annual exemption of ₹1.25 lakh.
2. What is the STCG tax rate on equity in FY 2025-26?
Short-term capital gains on listed equity and equity-oriented mutual funds are taxed at 20% under Section 111A, applicable to sales on or after 23 July 2024.
3. What is the CII for FY 2025-26?
The Cost Inflation Index for FY 2025-26 is 376, as notified by CBDT in Notification No. 70/2025. The base year is FY 2001-02 with CII 100.
4. Can I still use indexation on property?
Only if the property was acquired before 23 July 2024. In that case, resident individuals and HUFs can choose between 12.5% without indexation or 20% with indexation, whichever is lower. For property acquired on or after that date, only 12.5% without indexation applies.
5. How are debt mutual funds taxed?
Units of specified debt mutual funds purchased on or after 1 April 2023 are taxed at slab rates as short-term capital gains under Section 50AA, regardless of holding period. Holding longer does not change the treatment.
6. Does this calculator include surcharge?
No. Surcharge is not included. For capital gains under Sections 111A, 112, and 112A, surcharge is capped at 15%. For slab-rate gains (property STCG, gold STCG, debt fund gains), surcharge follows your total income bracket and can vary. Actual tax may change due to surcharge, marginal relief, slab regime, and loss set-off. A review with your CA before filing is recommended.
7. What is the difference between LTCG and STCG?
- LTCG arises after the holding threshold: 12 months for equity; 24 months for property and gold. Taxed at a lower flat rate.
- STCG arises on sales before those thresholds. No annual exemption; the full gain is taxable.
- Equity LTCG: 12.5% on gains above ₹1.25 lakh. Equity STCG: 20% flat.
- Property and gold STCG: taxed at your income slab rate.
8. Can capital losses be set off against capital gains in India?
- Short-term losses can be set off against both STCG and LTCG in the same year.
- Long-term losses can only be set off against LTCG.
- Unabsorbed losses carry forward for up to 8 assessment years, provided ITR is filed by the due date.
9. Is capital gains tax applicable on SIP mutual fund redemptions?
- Each SIP instalment is a separate purchase with its own acquisition date.
- On redemption, oldest units are sold first (FIFO).
- Units held 12+ months are LTCG at 12.5%. Under 12 months is STCG at 20%.
- Track each lot separately for accurate tax calculation.
10. What is grandfathering in equity capital gains?
Applies to listed equity and equity MFs acquired before 1 February 2018. Under Section 112A(7), your cost is the higher of your actual purchase price or the FMV on 31 January 2018 (capped at sale price). Only post-2018 gains are taxable.
In this calculator, select Equity or Equity MF and enter a buy date before 1 Feb 2018. Two extra fields will appear for FMV per unit and quantity. See the full explanation above.
11. How do I find the FMV on 31 January 2018 for grandfathering?
For listed shares and ETFs: the highest price on NSE or BSE on 31 January 2018, or the last trading day before it. Look up via NSE End-of-Day historical data or BSE Bhavcopy archive.
For equity MF units: the NAV published for 31 January 2018. Available on AMFI's NAV history portal, the fund house website, or your CDSL/NSDL consolidated account statement.
In this calculator, enter the FMV per unit directly. Enter quantity separately; the calculator multiplies and applies the formula automatically.
12. What is tax harvesting and how does it benefit investors?
Sell equity before 31 March to realise up to ₹1.25 lakh in gains, which are fully exempt under Section 112A. Repurchase immediately to reset your cost basis at no tax cost. Done annually, this reduces future LTCG liability. India has no wash sale rule, so the strategy is entirely legal.
13. Do NRIs pay capital gains tax on Indian assets?
Yes. Non-Resident Indians are liable to capital gains tax in India on assets situated in India, at the same rates as resident individuals. For NRIs, TDS is typically deducted at source on LTCG on equity at 12.5% and STCG at 20%. DTAA provisions with the country of residence may reduce double taxation. NRIs should consult a qualified adviser before transacting, as the withholding and filing requirements differ from those for residents.
Not sure what you actually owe?
A 20-minute session with a SEBI-registered Finnovate adviser confirms your number, reviews exemption options under Sec 54 / 54F / 54EC, and checks for loss offsets, all before you file.