Need to work out capital gains tax on shares, mutual funds, property or gold for FY 2026-27? Use the free ArthikDisha Capital Gains Tax Calculator below to estimate your STCG and LTCG tax and download a PDF report of the calculation.
It applies the rules in force for FY 2026-27 to one transaction or aggregated lot at a time, so keep your purchase and sale details ready before you start.
Capital Gains Tax Calculator
Calculate estimated short-term and long-term capital gains tax on shares, mutual funds, property, gold and other assets.
Capital Gains Tax Summary
Calculation breakdown
Note: This calculator applies the capital gains tax provisions currently in force for FY 2026-27 and covers one transaction or an aggregated lot at a time. It does not consolidate multiple transactions into an annual tax computation, fully model capital loss set-off/carry-forward or cover all reinvestment exemptions.
Enter your other taxable income accurately. For resident individuals and HUFs, any unused basic exemption limit may be adjusted against eligible capital gains under the applicable provisions. Therefore, entering zero when you actually have other income could understate your estimated tax liability.
Why I Built This Calculator
A small mistake in claiming an income-tax rebate can turn a seemingly simple tax return into a complicated tax problem. Over the past year, I have come across several cases, particularly involving senior citizens, where taxpayers claimed a rebate even though their income consisted entirely of capital gains taxable at special rates.
Such incorrect claims can result in tax notices and unnecessary queries from the Income Tax Department, causing considerable stress to elderly taxpayers. This experience inspired me to create the ArthikDisha Capital Gains Tax Calculator – to help taxpayers calculate their tax correctly and avoid common mistakes.
Latest Update: Possible Changes Ahead of Union Budget 2027-28
In early November 2026, media reports indicated that SEBI had made two proposals to the Finance Ministry concerning capital gains taxation. These reportedly include removing the 12.5% LTCG tax on equity investments by foreign portfolio investors (Moneylife, 5paisa) and providing tax relief to domestic mutual fund investors who switch schemes after holding their investments for more than one year (5paisa).
These proposals are reportedly part of a private pre-Budget recommendation and have not become law. They would require government approval and appropriate legislative amendments before taking effect. They should therefore not be treated as existing tax benefits or as a proposal to abolish capital gains tax generally. The ArthikDisha Capital Gains Tax Calculator currently applies the provisions in force for FY 2026-27 and will be updated if any such changes are officially enacted.
Capital Gains Tax Calculator FY 2026-27
The ArthikDisha Capital Gains Tax Calculator helps taxpayers estimate the tax arising from the sale of capital assets during Tax Year 2026-27 (FY 2026-27).
The calculator determines whether the gain is short-term or long-term based on the applicable holding-period rules and calculates tax according to the relevant provisions. The section on assets covered below explains the asset categories it supports.
Understand the ₹1,25,000 LTCG Threshold Before Calculating Tax
In my experience, one mistake taxpayers often make while calculating LTCG on equity shares is treating the ₹1,25,000 exemption as available separately for every sale.
In reality, this is an annual threshold that applies to the combined eligible gains from all qualifying transactions during the tax year. That is why the calculator asks you to enter any other eligible LTCG you may have already realised during the year, helping you avoid claiming the same exemption more than once.
Before using the calculator, keep the asset type, purchase and sale dates, sale value, acquisition cost and transfer expenses ready. Depending on the asset, you may also need the fair market value as at 31 January 2018 or the property’s acquisition year.
I built this calculator to show not just the final tax figure, but also the working behind it – because that is where many common errors go unnoticed.
Understand Section 156 Rebate of ₹60,000 under the New Tax Regime
The rebate of up to ₹60,000 under Section 156 (earlier Section 87A) is not a blanket reduction from the total tax liability. It cannot be used to reduce tax payable on capital gains taxed at special rates, such as eligible STCG under Section 196 (20%) and LTCG under Section 197 (12.5%).
In the case of eligible equity LTCG under Section 198, the rebate can be claimed only against the tax payable on the remaining income after excluding the tax attributable to such gains.
Therefore, taxpayers whose income consists entirely of capital gains taxable at special rates cannot use the ₹60,000 rebate to eliminate that capital gains tax. However, eligible income taxed at normal slab rates may still qualify for the rebate, subject to the prescribed conditions.
What Assets are Covered by the Capital Gains Tax Calculator?
The tax treatment of capital gains depends on both the nature of the asset and its holding period. These factors determine whether the gain is classified as short-term or long-term and which tax rate applies.
How to use the Capital Gains Tax Calculator?
I have kept the calculator simple and easy to use. To calculate your capital gains tax and download a detailed PDF report instantly, just follow these simple steps:
- Select the category and type of capital asset sold.
- Enter the purchase date and sale date.
- Enter the purchase price and sale consideration.
- Enter eligible expenses incurred in connection with the transfer.
- Provide the cost of improvement, wherever applicable.
- Enter other relevant information, such as STT details, grandfathered cost or eligible exemptions, if applicable.
- Click Calculate Capital Gains Tax to view the estimated capital gains and tax liability.
- Download the PDF calculation report for your records.
Capital Gains Tax on Shares, Mutual Funds, Property and Gold
Not all capital gains are taxed alike. The tax rate depends on what you sell, how long you hold it and whether any special tax provision applies. Here is a quick look at the tax treatment of different asset categories for FY 2026-27.
Shares and Equity Mutual Funds
Listed equity shares and equity-oriented mutual funds generally qualify as long-term assets when held for more than 12 months.
Eligible STCG is taxed at 20% under Section 196, subject to STT conditions. Eligible LTCG is taxed at 12.5% under Section 198 on aggregate annual gains exceeding ₹1,25,000.
Unlisted equity shares generally require a holding period exceeding 24 months to qualify as long-term.
Debt Mutual Funds
Units of specified mutual funds acquired on or after 1 April 2023 are treated as short-term capital gains (earlier Section 50AA), irrespective of the holding period.
Such gains are taxed at the applicable slab rate. This rule applies only to funds satisfying the statutory definition of a specified mutual fund, not automatically to every debt mutual fund.
Land and Buildings
Land and buildings generally qualify as long-term capital assets when held for more than 24 months. LTCG is generally taxed at 12.5% without indexation.
Eligible resident individuals and HUFs transferring property acquired before 23 July 2024 may get grandfathering protection, subject to the statutory conditions.
Short-term gains are generally taxed at the applicable slab rate.
Gold, Jewellery and Sovereign Gold Bonds
Physical gold and jewellery generally qualify as long-term assets after 24 months, with LTCG taxed at 12.5% without indexation. Listed Gold ETFs generally qualify as long-term after 12 months.
Short-term gains on these assets are generally taxed at slab rates.
For Sovereign Gold Bonds, the maturity redemption exemption is available only to eligible individuals who subscribed at the original issue and held the bonds continuously until maturity, subject to statutory conditions.
Capital Gains Tax Rates and Holding Periods FY 2026-27
Capital gains tax rates depend on the nature of the asset and how long you held it. The table below brings the holding period, STCG rate and LTCG rate together for the most common assets.
| Asset | Long-term if held for | STCG rate | LTCG rate |
|---|---|---|---|
| Listed equity shares (STT paid) | More than 12 months | 20% | 12.5% on gains above ₹1,25,000 a year |
| Equity-oriented mutual funds | More than 12 months | 20% | 12.5% on gains above ₹1,25,000 a year |
| Listed gold ETFs and other listed securities | More than 12 months | Slab rate | 12.5% without indexation |
| Unlisted shares | More than 24 months | Slab rate | 12.5% without indexation |
| Land and buildings | More than 24 months | Slab rate | 12.5% without indexation (grandfathering option for eligible property) |
| Physical gold and jewellery | More than 24 months | Slab rate | 12.5% without indexation |
| Specified mutual fund (At least 65% in debt) acquired on or after 1 April 2023, market-linked debentures, and certain unlisted bonds and debentures | Treated as short-term capital gains irrespective of holding period under Section 76 | Slab rate | Not applicable |
The above rates are before surcharge and 4% Health and Education Cess. For capital gains taxable under Sections 196, 197 and 198 of the Income-tax Act, 2025, the surcharge attributable to such gains is capped at 15%, subject to applicable provisions. The 4% Health and Education Cess is calculated on the income tax plus surcharge.
STCG Tax Calculation Example for FY 2026-27
Suppose an investor purchases listed equity shares for ₹2,00,000 and sells them for ₹2,60,000 within 12 months. Assuming the applicable STT conditions are satisfied, the tax calculation will be as follows:
| Particulars | Amount |
|---|---|
| Purchase Value | ₹2,00,000 |
| Sale Value | ₹2,60,000 |
| Short-Term Capital Gain (STCG) | ₹60,000 |
| Applicable Tax Rate | 20% |
| Estimated Tax Before Cess | ₹12,000 |
| Health and Education Cess (4%) | ₹480 |
| Total Estimated Tax on Capital Gains | ₹12,480 |
Assumptions: The investor’s other taxable income is ₹4,00,000, which is above the applicable basic exemption limit. No unused basic exemption is therefore available for adjustment against the capital gain. No surcharge is applicable.
To reproduce this result in the ArthikDisha Capital Gains calculator FY 2026-27, enter other taxable income of ₹4,00,000.
Important Note: For eligible resident individuals and HUFs, an unused basic exemption limit may be adjusted against certain capital gains. If your other income is lower than the basic exemption limit of ₹4,00,000, the tax may consequently be reduced. Surcharge and other applicable provisions may also change the final tax liability.
LTCG Tax Calculation Example for FY 2026-27
Suppose an investor sells listed equity shares after holding them for more than 12 months. Assuming the applicable conditions for concessional LTCG taxation are satisfied, the calculation will be as follows:
| Particulars | Amount |
|---|---|
| Sale Consideration | ₹5,00,000 |
| Cost of Acquisition | ₹3,00,000 |
| Long-Term Capital Gain (LTCG) | ₹2,00,000 |
| Annual Exemption Threshold | ₹1,25,000 |
| Taxable LTCG | ₹75,000 |
| Applicable Tax Rate | 12.5% |
| Estimated Tax Before Cess | ₹9,375 |
| Health and Education Cess (4%) | ₹375 |
| Total Estimated Tax on Capital Gains | ₹9,750 |
Assumptions: The applicable conditions for concessional LTCG taxation are satisfied, the taxpayer has no other eligible gains that have already used the annual ₹1,25,000 threshold, and other taxable income is ₹4,00,000 (so no unused basic exemption is available). No surcharge is applicable.
To reproduce this result in the ArthikDisha calculator, enter other taxable income of ₹4,00,000.
Important: For eligible resident individuals and HUFs, an unused basic exemption limit may be adjusted against certain capital gains. For example, with other taxable income of zero, the unused basic exemption would be sufficient to absorb the ₹75,000 taxable LTCG in this illustration, resulting in nil tax, subject to the applicable conditions.
How to Calculate Capital Gains Tax in India?
Capital gains tax is calculated by determining the profit arising from the transfer of a capital asset and applying the relevant tax provisions.
The basic calculation is:
Capital Gain = Sale Consideration – Cost of Acquisition – Cost of Improvement – Eligible Transfer Expenses
The following information is generally required:
- Full value of sale consideration.
- Cost of acquisition.
- Cost of improvement, wherever applicable.
- Expenses incurred wholly and exclusively in connection with the transfer.
- Applicable exemptions and special cost adjustments.
Grandfathering benefit for property
For eligible land or buildings acquired before 23 July 2024 and transferred on or after that date, a resident individual or HUF may be eligible for protection against an increase in tax liability.
The taxpayer can compare the tax payable under:
- 12.5% without indexation; and
- 20% with indexation.
The grandfathering relief is subject to the statutory conditions and is intended to ensure that the tax liability under the new method does not exceed the liability under the protected old method.
Exemptions to Save Capital Gains Tax
Certain long-term capital gains can be reduced or exempted if you reinvest the money in specified ways within the prescribed time limits. The most commonly used provisions are listed below.
- Section 82 (earlier Section 54): Long-term capital gains from selling a residential house, if you reinvest in another residential house within the prescribed period.
- Section 86 (earlier Section 54F): Long-term capital gains from selling an asset other than a residential house, if the net sale consideration is invested in a residential house.
- Section 85 (earlier Section 54EC): Long-term capital gains from land or buildings, if you invest in specified bonds within six months, subject to the prescribed limit. Section 85 provides an aggregate investment limit of ₹50 lakh under the specified conditions.
Also Read: Changes in Income Tax Forms under the Income-tax Act, 2025
Along with the renumbering of tax provisions, the Income-tax Act, 2025 has introduced changes to several familiar income-tax forms. For example, the erstwhile Form 16 is now known as Form 130.
Read our detailed guide on Form 16 New Name – Form 130 under the Income-tax Act, 2025 to understand the revised form names and changes.
How to Report Capital Gains in Your Income Tax Return
Capital gains are reported in the capital gains schedule of your ITR. For listed shares and mutual funds, download the capital gains statement from your broker or fund house, as it gives scrip-wise purchase and sale details.
Individuals with capital gains generally cannot use the simplest ITR form, so choose your form carefully. Eligible losses can be carried forward only if the return is filed on time.
For a detailed guide, read the post on Income Tax Calculator in Excel.
Also available: Free ArthikDisha Tax Utility in Excel & PDF Download.
Important FAQs on Capital Gains Tax Calculator FY 2026-27
How do I calculate capital gains tax in India?
Capital gains tax is calculated by deducting the eligible cost of acquisition, cost of improvement and transfer expenses from the sale consideration. The resulting gain is classified as short-term or long-term and taxed at the applicable rate.
What is the STCG tax rate for FY 2026-27?
Short-term capital gains from specified listed equity shares, equity-oriented mutual funds and eligible business trust units are generally taxable at 20%, subject to the prescribed STT conditions. Other short-term gains are generally taxable at the applicable income-tax slab rate.
What is the LTCG tax rate for FY 2026-27?
Long-term capital gains on specified listed equity securities are generally taxable at 12.5% on eligible gains exceeding the annual exemption threshold of ₹1,25,000. Other eligible long-term capital gains are generally taxable at 12.5%, subject to specific provisions.
What is the LTCG exemption limit under Section 198 (earlier Section 112A)?
The annual exemption threshold for eligible long-term capital gains from specified listed equity shares, equity-oriented mutual funds and business trust units is ₹1,25,000. This provision was Section 112A under the Income-tax Act, 1961 and is covered by Section 198 of the Income-tax Act, 2025 from Tax Year 2026-27.
How long must I hold shares to qualify as a long-term capital asset?
Listed equity shares generally qualify as long-term capital assets when held for more than 12 months. Unlisted equity shares generally require a holding period exceeding 24 months.
Is capital gains tax applicable to mutual funds?
Yes. Capital gains from mutual funds are taxable depending on the type of fund, its investment composition, holding period and applicable tax provisions.
Can capital losses be adjusted against capital gains?
Yes. Subject to applicable conditions, short-term capital losses can generally be adjusted against both short-term and long-term capital gains. Long-term capital losses can generally be adjusted only against long-term capital gains. Eligible unabsorbed losses may be carried forward subject to timely return filing and other statutory conditions.
Is capital gains tax calculated separately from salary income?
Certain capital gains are taxed at special rates, while other gains are taxed at normal slab rates. Capital gains are nevertheless included in the taxpayer’s total income for determining the overall tax liability and applicable surcharge.
Is indexation available on long-term capital gains?
Indexation has generally been withdrawn for long-term capital gains on transfers made on or after 23 July 2024. However, eligible resident individuals and HUFs transferring land or buildings acquired before that date may be entitled to special grandfathering relief.
Can I download my capital gains tax calculation?
Yes. You can download the calculation report in PDF format using the ArthikDisha Capital Gains Tax Calculator. The report contains the asset details, purchase and sale values, capital gains computation and estimated tax liability.
Is the Section 156 rebate (earlier Section 87A) available against capital gains tax?
The rebate under Section 156 cannot be used to reduce tax payable on capital gains taxed at special rates, such as eligible STCG under Section 196 and LTCG under Sections 197 and 198. However, a resident individual may qualify for the rebate against eligible tax payable under normal slab rates, including certain STCG not covered by special-rate provisions, subject to statutory conditions.
How are share buybacks taxed from FY 2026-27?
From FY 2026-27, proceeds from a share buyback are taxed in the shareholder’s hands as capital gains, either short-term or long-term depending on the holding period, instead of as dividend income at slab rates. The applicable statutory conditions should be checked before calculating the tax liability.
Is surcharge applicable on capital gains tax?
Yes. Surcharge applies if total income crosses the prescribed limits, along with 4% Health and Education Cess. For capital gains on listed equity and equity-oriented mutual funds, the surcharge rate is capped at 15%, subject to applicable provisions.
What is grandfathering for equity shares and mutual funds?
For listed equity shares and equity-oriented mutual fund units acquired on or before 31 January 2018, the cost of acquisition for LTCG purposes is generally the higher of the actual cost and the lower of the fair market value on 31 January 2018 and the sale value. This protects eligible gains that had accrued before the LTCG tax was introduced.
How do I report capital gains in my ITR?
Report capital gains in the capital gains schedule of your income-tax return, using your broker’s or fund house’s capital gains statement for transaction-wise details. File the return before the applicable due date if you want to carry forward eligible capital losses.
Which year does this calculator cover: FY 2026-27 or AY 2027-28?
Both refer to the same period. FY 2026-27 is called Tax Year 2026-27 under the Income-tax Act, 2025, while Assessment Year 2027-28 is the earlier terminology. Gains from sales made between 1 April 2026 and 31 March 2027 are covered.
Disclaimer: This Calculator provides an estimated capital gains tax computation for educational and informational purposes. Actual tax liability depends on the taxpayer’s residential status, nature of the asset, applicable statutory provisions, other income, exemptions, losses, surcharge and cess. Users should verify their calculations before filing their income-tax returns.
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