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STCG vs LTCG on equity in India

Holding clocks start on dates that changed across Finance Acts — track your grandfathering.

Listed equity and equity-oriented funds historically enjoyed zero long-term capital gains tax until reforms introduced a taxed regime beyond specific holding periods. Short-term gains face higher rates tuned to discourage churn.

Grandfathering clauses protected notional gains up to cut-off dates — your broker statement may be wrong; download trade logs from AMCs and reconcile purchase NAVs for shares migrated between demats.

Loss harvesting matters: set off rules pair STCL against STCG before carrying forward balances across years within statutory limits.

International equity feeder funds may be treated as debt funds for tax — do not assume Indian equity rules apply by headline category name alone.

Day-traders mixing business income and capital gains may face scrutiny; structure activity intentionally with CA guidance if scale grows.

FAQs

Clear answers in plain language. Educational guidance only.

What is this guide about?
Holding clocks start on dates that changed across Finance Acts — track your grandfathering.
Is this personalised financial advice?
No. Finkoin Learn articles are educational. Verify rates, rules, and product terms with your bank, insurer, CA, or a qualified professional before acting.
How often is this updated?
We refresh guides when rules or market norms shift materially. Tax and regulatory topics may change each Finance Act — always cross-check the current year.
Can I use Finkoin tools with this article?
Yes. Calculators and the financial health check on Finkoin help you model numbers discussed here — use them alongside official sources.

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