Calculating Amount for Short Term Capital Gain (shares)

POSTED BY Amit Gupta ON October 10, 2013 8:34 am COMMENTS (2)

Lets say, I buy 1 share at Rs. 100 and sell it in less than a year in Rs. 130. Actually, I pay more than 100 and receive less than 130 because of brokerage, STT and other charges. If for example, I paid Rs. 101 at the time of buying and received 128 at the time of selling, what will be the amount on which tax of 15% shall be paid?

A) Rs. 130 – Rs, 100 = Rs.30

B) Rs. 128 – Rs. 101 = Rs. 27

C) or any other amount.

If the answer is C, please let me know the formula to calculate.

2 replies on this article “Calculating Amount for Short Term Capital Gain (shares)”

  1. Anshuk Jain says:
    October 11, 2013 at 9:58 pm

    It should be B)

    Reply
  2. ashalanshu says:
    October 10, 2013 at 11:41 am

    Dear Amit, please ignore the STT paid by you. brok. is available for calculation. So your short term capital gain = Sell price (basic sell price – brok.) – purchase price (basic price + brok.)

    This amount is subject to tax @ 15.45%.

    thanks

    Ashal

    Reply

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