Calculate LTCG & STCG tax liability for Stocks and Mutual Funds.
Note: We applied the standard ₹1.25 Lakh exemption to your profit before calculating the 12.5% tax. If you have already exhausted this limit with other investments this year, your tax will be higher.
For Equity (Stocks/Mutual Funds), if you sell before 12 months, the profit is Short Term Capital Gain (STCG). If you sell after 12 months, it is Long Term Capital Gain (LTCG).
Under the new budget, STCG on equity is taxed at 20%. LTCG on equity is taxed at 12.5%, but you get an exemption on the first ₹1.25 Lakhs of profit in a financial year.
For debt mutual funds bought after April 1, 2023, there is no LTCG or indexation benefit. All gains are treated as STCG and added to your income, meaning they are taxed at your applicable income tax slab rate. (This calculator assumes a 30% slab for debt).
No, the ₹1.25 Lakh exemption is the TOTAL exemption limit for all your equity LTCG combined in a single financial year.