Capital Gains Tax Calculator

Capital gains tax calculator India 2026

Calculate LTCG and STCG on stocks, mutual funds, property, and gold. Updated for the July 2024 Budget — 12.5% LTCG, 20% STCG on equity, with the property indexation grandfathering option.

Asset details

₹

Original purchase price of the asset

1,00010,00,00,000
₹

Price at which you sold the asset

1,00010,00,00,000

STCG vs LTCG: what actually changes

When you sell an asset at a profit, the tax you pay depends almost entirely on how long you held it. Hold it long enough and you get "long-term" treatment — a lower rate and, for some assets, an indexation benefit. Sell too soon and the gain is "short-term", taxed at a higher rate or your regular slab.

The cut-off periods are different for each asset class:

AssetSTCG (held less than)LTCG rate (FY 2025-26)
Listed equity / equity MF12 months — taxed at 20%12.5% above ₹1.25L (Sec 112A)
Property24 months — slab rate12.5% (or 20% with indexation if bought before 23 Jul 2024)
Gold / jewellery36 months — slab rate12.5%
Debt MF (bought after Apr 2023)Any holding periodSlab rate (no LTCG benefit)

Rates for FY 2025-26 (AY 2026-27). Budget 2025 made no changes to capital gains rates set in July 2024.

How this capital gains tax calculator works

Enter four things: the asset type, purchase price, sale price, and the two dates. The calculator figures out the holding period, classifies the gain as short-term or long-term, applies the correct post-July 2024 Budget rate, and shows you the exact tax payable.

For property and gold, you can toggle the indexation option on or off. If you bought property before 23 July 2024, the calculator lets you compare the 20%-with-indexation route against the 12.5%-without route. Use whichever gives the lower number — that choice is yours under the current rules.

The Cost Inflation Index used here is the CBDT-notified figure: 376 for FY 2025-26. For sales in FY 2026-27, the CII will be notified by CBDT mid-year — update the purchase year accordingly when that figure is released.

A real example: selling shares bought in 2022

Say you bought ₹5 lakh of Nifty 50 index units in April 2022 and sold them in June 2026 for ₹9 lakh. Holding period: more than 4 years — that's LTCG on equity.

Sale proceeds₹9,00,000
Purchase cost₹5,00,000
Total capital gain₹4,00,000
Less: ₹1.25L exemption (Sec 112A)−₹1,25,000
Taxable gain₹2,75,000
Tax rate (Sec 112A)12.5%
Tax payable₹34,375

Note: surcharge and cess (4% health and education cess) apply on top of this figure when computing your final ITR liability.

Property and the indexation choice after July 2024

The July 2024 Budget changed property LTCG significantly. For property purchased on or after 23 July 2024, the rate is a flat 12.5% with no indexation. For property purchased before that date, you get a one-time choice at the time of sale: pay 20% with indexation, or pay 12.5% without.

Indexation uses the Cost Inflation Index (CII) to inflate your original cost. The formula: Indexed cost = purchase price x (CII of sale year / CII of purchase year). A higher indexed cost means a lower gain, which means less tax. Whether this makes 20%-with-indexation cheaper than 12.5%-without depends on how long you held the property and how fast prices rose.

A rough rule: if you bought the property more than 10 years ago and held through high-inflation periods, 20%-with-indexation often wins. For recent purchases (3-5 years), 12.5% tends to be cheaper. The indexation toggle in this capital gains tax calculator does exactly this comparison for you.

Compare your property tax bill alongside your income tax position using the income tax calculator.

How to reduce capital gains tax legally

Section 54 — residential property to residential property

Sell a residential property and reinvest the capital gains in another residential property within 2 years (or construct within 3 years) — the gains are fully exempt. The new property must be in India and you cannot sell it within 3 years. Only one new property is allowed under this exemption.

Section 54EC — capital gains bonds

Invest up to ₹50 lakh of capital gains in NHAI, REC, or PFC bonds within 6 months of the sale. These bonds have a 5-year lock-in and pay around 5-5.25% interest per year. The interest is taxable at your slab rate — but the capital gains exemption can be worth significantly more.

Section 54F — any long-term asset to residential property

Sell shares, gold, or any other long-term asset and invest the entire net sale consideration (not just gains) in a residential property. Exemption is proportional to how much you invest. You should not own more than one other residential property on the date of sale.

Tax-loss harvesting (equity)

If you have unrealised losses in your portfolio, you can sell those positions to book a capital loss and set it off against your gains. Short-term losses can offset both STCG and LTCG. Long-term losses can only offset LTCG. Losses not used this year can be carried forward for 8 years.

Frequently asked questions

How is capital gains tax calculated on sale of property?

Capital gain = sale price minus purchase cost (plus improvement costs). For property held over 2 years, it is long-term. Sold after 23 July 2024: flat 12.5% without indexation, or 20% with indexation if bought before that date. Held under 2 years: slab rate applies.

How to avoid capital gains tax on property in India?

Section 54: reinvest gains in another residential property within 2 years. Section 54EC: invest up to ₹50 lakh in capital gains bonds within 6 months. Section 54F: invest entire sale proceeds from any long-term asset into a residential property. Each exemption has specific conditions — consult a CA for your situation.

What is the difference between STCG and LTCG?

STCG applies when you sell before the long-term holding threshold — 12 months for equity, 24 months for property, 36 months for gold and debt. LTCG applies after those periods. STCG on equity is 20% (Sec 111A); LTCG on equity is 12.5% above ₹1.25L (Sec 112A).

What is the LTCG exemption limit for shares?

For listed equity and equity mutual funds, the first ₹1.25 lakh of LTCG per financial year is tax-free under Section 112A. Raised from ₹1 lakh to ₹1.25 lakh in the July 2024 Budget. Gains above ₹1.25 lakh are taxed at 12.5%. The exemption resets every April.

Is indexation still allowed on property in 2026?

Yes, but only for property purchased before 23 July 2024. You can choose 20% with indexation or 12.5% without — compare both before filing. For property bought on or after 23 July 2024, indexation is not available. Debt mutual funds bought after April 2023 also lost indexation.

What is the LTCG tax rate for FY 2025-26?

Equity LTCG (Sec 112A): 12.5% above ₹1.25L. Property LTCG (post-Jul 2024 purchase): 12.5% without indexation. Property LTCG (pre-Jul 2024 purchase): 20% with indexation or 12.5% without, at taxpayer choice. Gold/other assets: 12.5%. Debt MF bought after April 2023: slab rate. Budget 2025 made no changes.

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