Ask Value Research

New tax regime: Are long-term capital gains up to Rs 1 lakh exempt from tax?

Let's understand how are long-term capital gains on equities and mutual funds taxed

New tax regime: Are long-term capital gains up to Rs 1 lakh exempt from tax?

dhanak हिंदी में भी पढ़ें read-in-hindi

Deduction of Rs 1 lakh in long-term capital gains of equity is allowed in the new tax regime? - Anonymous

Under the new tax regime, long-term capital gains on equities and units of mutual funds up to Rs 1 lakh are not taxable. Gains exceeding Rs 1 lakh are taxed at a rate of 10 per cent.

With the introduction of the new tax regime, various deductions and exemptions have been removed from the calculation of income and tax liability. However, the deduction and exemption for long-term capital gains on equities and units of mutual funds have not been removed and still apply to both tax regimes.

This information is based on Section 115BAC r/w 112A of the Income Tax Act, 1961.

Know how your mutual fund gains are taxed.

Confused between the old and new tax regime? This tax calculator gives you the answer.

Tax Calculator

Suggested read: Which tax regime is better for you after the Budget 2023?

Have a different question in mind? Ask us


Other Categories