How Capital Gains are taxed

The profit from the sale of any asset is a capital gain and has to be mentioned in the tax return. The tax on capital gains depends on the holding period and the asset class. Here's a ready reconer on the tazation of different capital gains.


Reference: Economics Times.

Asset	Holding Period	Type of Gain	Tax Rate
Stocks, equity funds and balanced funds	Less than 1 year	short term	15%
	1 year and above	Long term	Nil
Debt funds, debt-oriented hybrid funds	Less than 1 year	short term	Added to income and taxed at normal rate
	1 year and above	Long term	10% flat or 20% with indexation
Gold(physical)	Less than 1 year	short term	Added to income and taxed at normal rate
	3 years and above	Long term	20% with indexation
Gold ETF	Less than 1 year	short term	Added to income and taxed at normal rate
	1 year and above	Long term	10% flat or 20% with indexation
Real Estate	Less than 1 year	short term	Added to income and taxed at normal rate
	3 years and above	Long term	20% with indexation