STCG

Short-Term Capital Gains arise when you sell an asset within the short-term holding period prescribed by Indian income-tax law. For listed equity and equity mutual funds the boundary is 12 months; for most other assets (property, unlisted shares, gold, foreign stocks) it is 24 months; for new-rule debt funds there is no short/long distinction at all. STCG typically attracts a higher tax rate than LTCG, so holding period can meaningfully change your realised return.

Following the Union Budget of July 2024, STCG on listed equity is taxed at 20% (up from 15%) under Section 111A — flat, no basic exemption. STCG on other assets (property, gold, unlisted shares) is added to your total income and taxed at your slab rate, which can mean up to 30% plus surcharge and cess. Example: sell shares worth ₹10 lakh bought 6 months earlier for a ₹2 lakh profit — STCG tax is ₹40,000 at 20%, plus 4% cess.

Short-term capital losses can offset both STCG and LTCG in the same year and be carried forward for 8 assessment years, provided the return is filed on time. STT-paid listed equity is eligible for the concessional 20% rate; off-market transfers are not.

Our capital gains calculator applies the post-Budget 2024 STCG rates automatically across all four asset classes and calculates surcharge + cess on top.