Capital gain

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Anurag goyal (Querist)
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18 February 2014 If we purchase 40000 share @ 1 rs per share n after 15 month we sale above 40000 share @ rs 25 per share . Then it will attract cap gain or nt A) if company is listed on stock exchange. B) will ur answer is different if company is nt listed on stock exchange... Thks in advance

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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18 February 2014 If you purchase shares of listed companies on which STT is paid the holding period is 1 year and if you sale the same then after one year no capital gain tax will be levied but for unlisted companies the holding period is 36 months and after 36 months if you sale then you can apply the indexation and accordingly long term capital gain will be paid but if you sale before 36 months then it is short term capital gains and regular tax is to be paid on the income or gain if any earned.