Capital Gains Tax Calculator India 2026
Free Capital Gains Tax calculator with 4 modes: CG Tax Calculator for 9 asset types (listed equity, unlisted shares, equity MF, debt MF, real estate, gold, crypto/VDA, bonds, and other assets), Asset Tax Comparison across all classes, Section 54/54EC/54F Exemption Planner, and Tax Loss Harvesting optimiser. Updated for post-Budget 2024 rules including 12.5% LTCG, 20% equity STCG, indexation removal, ₹1.25 lakh annual exemption, grandfathering provision, and 30% VDA flat tax.
What is Capital Gains Tax in India?
Capital Gains Tax is levied on the profit earned when you sell a capital asset — such as shares, mutual funds, property, gold, bonds, or cryptocurrency — at a price higher than what you paid for it. It is one of the most significant components of investment taxation in India.
The formula is straightforward:
Capital gains are classified as either Short-Term Capital Gains (STCG) or Long-Term Capital Gains (LTCG) based on the holding period. The tax rate varies by asset type, and the Union Budget 2024 made sweeping changes to rates, holding periods, and indexation rules. Use our calculator above to compute your exact tax liability.
Union Budget 2024 — Key Changes to Capital Gains Tax
The Finance (No. 2) Act, 2024 — effective from 23 July 2024 — significantly restructured India’s capital gains tax framework:
| Change | Old Rule (Before 23-Jul-2024) | New Rule (After 23-Jul-2024) |
|---|---|---|
| LTCG Rate (Equity/MF) | 10% above ₹1 lakh | 12.5% above ₹1.25 lakh |
| STCG Rate (Equity/MF) | 15% | 20% |
| LTCG Rate (Property/Gold/Others) | 20% with indexation | 12.5% without indexation |
| Indexation | Available for most assets | Removed (exception: pre-Jul-2024 property) |
| Annual Exemption | ₹1,00,000 | ₹1,25,000 |
| Holding Period (Unlisted/Gold/Property) | 36 months | 24 months |
STCG vs LTCG — Holding Period Classification
| Asset Type | Short-Term (STCG) | Long-Term (LTCG) | LTCG Rate | STCG Rate |
|---|---|---|---|---|
| Listed Equity Shares | ≤ 12 months | > 12 months | 12.5% (₹1.25L exempt) | 20% |
| Equity Mutual Funds / ETFs | ≤ 12 months | > 12 months | 12.5% (₹1.25L exempt) | 20% |
| Unlisted Shares | ≤ 24 months | > 24 months | 12.5% | Slab Rate |
| Real Estate (Land / House) | ≤ 24 months | > 24 months | 12.5% (or 20% with idx) | Slab Rate |
| Gold / Jewellery | ≤ 24 months | > 24 months | 12.5% | Slab Rate |
| Debt Mutual Funds (post Apr 2023) | Slab rate regardless | Slab Rate | Slab Rate | |
| Crypto / VDA / NFTs | 30% flat regardless | 30% | 30% | |
| Listed Bonds | ≤ 12 months | > 12 months | 12.5% | Slab Rate |
Use our Mutual Fund Returns Calculator to see how these tax rates impact your actual post-tax returns from SIP and lump sum investments.
Capital Gains Tax Rates — Detailed Breakdown
| Asset | LTCG Tax | STCG Tax | Exemption | IT Section |
|---|---|---|---|---|
| Listed Equity (STT paid) | 12.5% | 20% | ₹1.25L/yr | Sec 198 / 196 |
| Equity MF / ETF (STT paid) | 12.5% | 20% | ₹1.25L/yr | Sec 198 / 196 |
| Equity (No STT) | 12.5% | Slab Rate | None | Sec 197 |
| Debt MF (post Apr-2023) | Slab Rate | Slab Rate | None | Sec 76 |
| Property | 12.5% / 20%* | Slab Rate | Sec 54/54EC | Sec 197 |
| Gold / Jewellery | 12.5% | Slab Rate | None | Sec 197 |
| Crypto / VDA | 30% | 30% | None | Sec 194 |
| Listed Bonds | 12.5% | Slab Rate | None | Sec 197 |
| Unlisted Shares | 12.5% | Slab Rate | None | Sec 197 |
* Property bought before 23-Jul-2024: choice of 12.5% (no indexation) or 20% (with indexation).
Grandfathering Provision — Equity Shares Bought Before 31 Jan 2018
When LTCG tax on listed equity was introduced in Budget 2018, a grandfathering provision was included to protect gains accrued before 1 February 2018. The cost of acquisition is computed as:
(a) Actual Purchase Price, OR
(b) Fair Market Value (FMV) as on 31 January 2018
BUT capped at the Sale Price (to prevent artificial losses)
Grandfathering Worked Example
| Scenario | Buy Price | FMV (31-Jan-2018) | Sell Price | Cost Taken | LTCG |
|---|---|---|---|---|---|
| Buy < FMV < Sell | ₹100 | ₹200 | ₹400 | ₹200 (FMV) | ₹200 |
| FMV < Buy < Sell | ₹250 | ₹200 | ₹400 | ₹250 (Buy) | ₹150 |
| Buy < Sell < FMV | ₹100 | ₹500 | ₹400 | ₹400 (capped) | ₹0 |
Indexation — Cost Inflation Index (CII)
Indexation adjusts the purchase cost of an asset for inflation using the Cost Inflation Index (CII) published by the government. Post Budget 2024, indexation is largely removed, but remains relevant for pre-July-2024 property transactions.
CII Table (FY 2001-02 to 2025-26)
| Financial Year | CII | Financial Year | CII |
|---|---|---|---|
| 2001-02 (Base Year) | 100 | 2014-15 | 240 |
| 2005-06 | 117 | 2017-18 | 272 |
| 2008-09 | 137 | 2019-20 | 289 |
| 2010-11 | 167 | 2021-22 | 317 |
| 2011-12 | 184 | 2022-23 | 331 |
| 2012-13 | 200 | 2023-24 | 348 |
| 2013-14 | 220 | 2024-25 | 363 |
| 2025-26 | 377 |
Section 54, 54EC, 54F — Capital Gains Exemptions
| Feature | Section 54 | Section 54EC | Section 54F |
|---|---|---|---|
| Applies To | Sale of residential house | Sale of land or building | Sale of any asset except house |
| Invest In | 1 new house in India | NHAI/REC/PFC/IRFC bonds | 1 new house in India |
| Invest | Capital gain amount | Capital gain (max ₹50L) | Net sale consideration |
| Time Limit | Buy 1yr before / 2yr after; Build 3yr | 6 months from sale | Buy 1yr before / 2yr after; Build 3yr |
| Max Exemption | ₹10 crore (from FY 2023-24) | ₹50 lakh per FY | ₹10 crore (from FY 2023-24) |
| Lock-in | 3 years (new house) | 5 years (bonds) | 3 years (new house) |
Tax Loss Harvesting — Strategy Guide
Tax loss harvesting is a legal strategy to reduce your capital gains tax by selling loss-making investments to offset realised gains. In India:
- STCG losses can offset both STCG and LTCG
- LTCG losses can offset ONLY LTCG (not STCG)
- Unabsorbed losses can be carried forward for 8 years
- Must file ITR before the due date to carry forward
- India has no wash-sale rule — you can repurchase immediately
Harvesting Example
| Without Harvesting | With Harvesting |
|---|---|
| LTCG: ₹3,00,000 | LTCG: ₹3,00,000 |
| Losses harvested: ₹0 | Losses harvested: −₹1,50,000 |
| Net LTCG: ₹3,00,000 | Net LTCG: ₹1,50,000 |
| Exemption: −₹1,25,000 | Exemption: −₹1,25,000 |
| Taxable: ₹1,75,000 | Taxable: ₹25,000 |
| Tax (12.5% + cess): ₹22,750 | Tax (12.5% + cess): ₹3,250 |
| Tax Saved: ₹19,500 | |
Use our Tax Loss Harvesting mode (Mode 4 above) to plan your year-end tax optimisation. Also see our Income Tax Calculator for the complete picture.
Crypto / VDA Taxation — Section 115BBH
Since FY 2022-23, crypto and Virtual Digital Assets (VDAs) have a special harsh tax regime:
| Rule | Details |
|---|---|
| Tax Rate | 30% flat (+ 4% cess = 31.2% effective) |
| Holding Period | Irrelevant — same rate for any duration |
| Deductions | ONLY cost of acquisition (no brokerage, no expenses) |
| Loss Set-off | NO set-off against any income (not even other crypto) |
| TDS | 1% on transfers > ₹50,000/yr (₹10,000 for specified persons) |
| Gifts | Taxable as income if received as gift |
Debt Mutual Fund Taxation — Post April 2023
A major change from FY 2023-24: Debt mutual funds (and other funds with <65% equity allocation) acquired on or after 1 April 2023 are now taxed at your income tax slab rate regardless of holding period. No LTCG benefit, no indexation.
This affects: Gold MFs, International MFs, Fund-of-Funds, and Hybrid funds with <65% equity. Compare the post-tax returns using our FD Calculator — since both debt MF and FD are now taxed at slab rates, the comparison is more direct.
Role of STT in Capital Gains Taxation
Securities Transaction Tax (STT) is crucial for determining which tax section applies to your equity gains. STT must be paid on BOTH purchase and sale for the preferential rates (12.5% LTCG, 20% STCG) under Sections 198 and 196 to apply. Off-market transfers without STT are taxed under Section 197 without the ₹1.25L exemption.
Capital Loss Set-off Rules
| Loss Type | Can Set Off Against | Cannot Set Off Against |
|---|---|---|
| STCG Loss | STCG + LTCG (any asset) | Salary, business, rental, other income |
| LTCG Loss | LTCG only | STCG, salary, business, rental |
| Crypto Loss | Nothing | All income including other crypto |
Worked Examples — Common Scenarios
Example 1: Equity Shares — LTCG
| Component | Value |
|---|---|
| Bought TCS shares in March 2023 | ₹5,00,000 |
| Sold in September 2025 | ₹9,00,000 |
| Brokerage & charges | ₹2,000 |
| Capital Gain | ₹3,98,000 |
| Holding period (>12 months) | LTCG |
| ₹1.25L exemption | −₹1,25,000 |
| Taxable LTCG | ₹2,73,000 |
| Tax at 12.5% + 4% cess | ₹35,490 |
Example 2: Property Sale — Pre-July-2024 Purchase
| Component | Without Indexation | With Indexation |
|---|---|---|
| Purchase (2015-16) | ₹50,00,000 | ₹50,00,000 |
| CII Adjustment | — | ₹50L × (377/254) = ₹74,21,260 |
| Sale (2025-26) | ₹1,20,00,000 | ₹1,20,00,000 |
| LTCG | ₹70,00,000 | ₹45,78,740 |
| Tax Rate | 12.5% | 20% |
| Tax + Cess | ₹9,10,000 | ₹9,52,379 |
| Winner: 12.5% without indexation saves ₹42,379 | ||
Both options are close — for higher appreciation, 12.5% may win; for moderate appreciation, 20% with indexation may be better. Use our calculator to test your specific numbers. Also plan your reinvestment with our SIP Calculator.
Advance Tax on Capital Gains
If your total tax liability (including capital gains) exceeds ₹10,000 in a financial year, you may need to pay advance tax. However, there is a relaxation: capital gains that arise after the last instalment due date (15 March) need not be covered by advance tax. Use our TDS Calculator to understand TDS obligations on property and crypto sales.
Related Calculators & Tools
- Income Tax Calculator — See how capital gains add to your total income and the overall tax impact.
- Mutual Fund Returns Calculator — MF returns with exit load and LTCG tax factored in.
- SIP Calculator — Plan your SIP investments and understand post-tax wealth creation.
- FD Calculator — Compare: FD taxed at slab rate vs Equity LTCG at 12.5%.
- PPF Calculator — Tax-free (EEE) alternative to taxable capital gains.
- NPS Calculator — NPS 60% lump sum is tax-free — compare with equity exit taxation.
- TDS Calculator — TDS on property sale (1%), TDS on crypto (1%).
- Compound Interest Calculator — Pre-tax vs post-tax compounding comparison.
- Retirement Corpus Calculator — Post-tax corpus with equity/debt allocation.
- Professional Tax Calculator — Another tax deduction from your salary.