U K Prabhu (Banking Consultanat) (46 Points)
12 September 2014My son is an employee of MNC at Bangalore.
He purchased eligible equity shares of his Company some three years back from this FY under Employees Stock Option Scheme (ESOP).
During this FY, he sold these shares through proper channel(NYSE/Overseas Stock Exchange.) The stock were purchased as resident Indian and he is Tax payer @ 30% +.
What is the tax implication at his hand as he to wish pay advance Tax by 15th Sept, 2014.
Pulkit Gupta
(CA in Practice)
(172 Points)
Replied 12 September 2014
Here Long Term Capital Gain attracted @ rate of 20% with the benefit of indexation.
No benefit of 10(38) & proviso to section 112 of income tax act is available because NYSE not a recognised stock exchange.
In simple word, pay the advance tax @ rate of 20% on LTCG after indexation on or before 15th september.
In case of any doubt, you can approach me @ https://taxhow.in/ask-queries/
CAclubindia
