Capital Gains Tax Calculator

What is STCG and LTCG?

STCG (Short-Term Capital Gains) applies when you sell listed equity (shares, equity-oriented mutual funds) within 12 months of purchase; it is taxed at 15% (plus cess). LTCG (Long-Term Capital Gains) applies when you hold for 12 months or more; the first ₹1 lakh of LTCG from listed equity in a financial year is exempt, and the gain above that is taxed at 10% (plus cess). So holding for at least 12 months can save tax, and the ₹1 lakh exemption makes small gains tax-free.

These rules apply to listed equity and equity-oriented mutual funds. Debt funds, real estate, and other assets have different holding periods and rates. Use this calculator to estimate tax on equity gains so you can plan sales and set aside money for tax. For official assessment and filing, refer to the Income Tax Department and a CA.

12-month rule for equity

For listed equity, the holding period is calculated from the date of purchase to the date of sale. If it is less than 12 months, the gain is STCG. If 12 months or more, it is LTCG with the ₹1 Lakh exemption.

Example: Purchase ₹1 Lakh, Sale ₹1.5 Lakh, 2 years

Purchase price ₹1,00,000, sale price ₹1,50,000, holding 2 years. Gain = ₹50,000. Holding is 12 months or more, so this is LTCG. The first ₹1 lakh of LTCG in the year is exempt, so the entire ₹50,000 is within the exemption and tax = ₹0. If your gain were ₹1,50,000, then ₹1,00,000 would be exempt and ₹50,000 would be taxable at 10%, so tax would be ₹5,000 (plus cess). Use the calculator above with your purchase price, sale price, and holding period to get your estimated tax. Plan sales to use the ₹1 lakh exemption if possible.

Benefits of Using This Calculator

A capital gains tax calculator helps you estimate tax on the sale of listed equity (STCG at 15%, LTCG 10% above ₹1 lakh) so you can plan sales and set aside money for tax. It shows the impact of the 12-month holding period (STCG vs LTCG) and the ₹1 lakh LTCG exemption. Use it before selling to avoid surprises at filing time and to decide whether to sell in one financial year or split across years to use the exemption.

If you are close to the 12-month mark, holding a bit longer can turn STCG (15%) into LTCG (10% above ₹1 lakh), which can save tax. The calculator is for listed equity only; for other assets, rules differ. For official assessment, refer to the Income Tax Department and a CA.

How to Use This Calculator

Enter purchase price, sale price, and holding period (or purchase and sale dates). The calculator determines whether the gain is STCG (under 12 months) or LTCG (12 months or more), applies the ₹1 lakh LTCG exemption when applicable, and shows estimated tax. Rules apply to listed equity and equity-oriented mutual funds; other assets (e.g. debt funds, property) may have different holding periods and rates.

For official assessment and filing, refer to the Income Tax Department and a CA. Use the result to set aside tax and to plan the timing of sales (e.g. spreading gains across years to use the exemption).

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