Capital Gains Tax India: What You Need to Know About Profits from Property, Stocks, and More
When you sell something like a house, shares, or gold and make a profit, the Indian government taxes that gain — it’s called capital gains tax, a tax on profit from selling capital assets like property, stocks, or mutual funds. Also known as tax on asset appreciation, it applies whether you made ₹5,000 or ₹50 lakh. This isn’t income from your job — it’s money you earned by holding and then selling an asset. The rules change depending on how long you held it, what you sold, and where you live in India.
The key split is between short term capital gains, profits from assets held for less than the allowed period, taxed at your regular income rate and long term capital gains, profits from assets held longer, often taxed at a lower rate with indexation benefits. For example, if you sell a house after holding it for more than two years, it’s a long term gain — you can adjust the purchase price for inflation (indexation), which cuts your taxable profit. But if you sell shares within a year, you pay 15% tax on the profit, no matter your income slab. The tax treatment for mutual funds, land, gold, and even crypto varies — each has its own holding period and rate.
Many people don’t realize they can avoid or reduce this tax. Selling a house and buying another within two years? You can claim an exemption under Section 54. Investing gains in specific bonds under Section 54EC? That’s another legal way to defer the tax. Even if you’re just selling old stocks, knowing the difference between equity and non-equity funds matters — one gets taxed at 10% above ₹1 lakh, the other at your slab rate. These aren’t loopholes — they’re legal tools built into the system to encourage long-term investing and homeownership.
What you’ll find in the posts below isn’t theory — it’s real, practical advice from people who’ve dealt with these taxes. You’ll see how home loan repayments tie into Section 80C, how rental income and property sales interact, and how tax-saving investments like PPF or SSY can shift your financial priorities. There’s no fluff here — just clear breakdowns of what you owe, when you owe it, and how to plan ahead so you’re not caught off guard by a big tax bill.
STT, Stamp Duty, and Other Trading Taxes in India: What Equity Investors Actually Pay
Equity investors in India pay multiple hidden taxes on every trade-STT, stamp duty, and capital gains. Learn how much you’re really paying and how to reduce your tax burden legally.
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