

192 per share in March 2016, after 17 months, at Rs. Sandeep bought 250 shares of a listed company in October 2014 at a cost of Rs. Let us tweak the above example a bit to illustrate long-term capital gains. The formula to check the indexed purchase price of the asset is:Ĭost of purchase multiplied by CII of the year of sale divided by CII of the year of purchase The Cost Inflation Index (CII) from the fiscal year 1981-82 to 2016-17 are available. The Government of India releases Cost Inflation Index, through which the indexed cost can be estimated. Indexed cost is arrived at when the price is adjusted against the rise in inflation in the asset’s value. Long-term capital gains can be computed by subtracting the following 3 items from the total value of sale: Therefore short-term capital gain made by Sandeep will be: Let us see how much his short-term capital gains will be. 192 per share in March 2016, after 5 months, at Rs. Sandeep Venkatesh bought 250 shares of a listed company in October 2015 at a cost of Rs. Brokerage or expenditure incurred in connection with the sale of the asset.Short-term capital gains can be computed by subtracting the following 3 items from the total value of sale: How to calculate Capital Gains on Shares?
