Budget 2024 · Updated Rules

LTCG Tax Calculator

Calculate Long Term Capital Gains tax on your equity mutual funds and stocks — updated for Budget 2024 rules. LTCG on equity: 12.5% flat rate with ₹1.25 lakh annual exemption.

📚 Understand This Calculator

LTCG tax: you made money on your mutual fund — here's exactly what the taxman takes

Budget 2024 changed the rules for long-term capital gains on equity mutual funds. Now, any profit from equity funds held for more than 12 months is taxed at a flat 12.5% — but with a generous exemption: your first ₹1,25,000 of gains in a financial year is completely tax-free. This calculator shows you exactly how much tax you owe and how to legally minimise it.

🇮🇳 Real-Life Example

Meena sold equity mutual fund units and made ₹3,00,000 in profit this financial year (held 2+ years).

📌 Total LTCG: ₹3,00,000

📌 Minus annual exemption: ₹1,25,000

📌 Taxable LTCG: ₹1,75,000

📌 Tax at 12.5%: ₹21,875

📌 In-hand after tax: ₹2,78,125

Tax planning tip: Meena's friend Nita has ₹4 lakh gain. She's smart — she sells ₹2.5L worth before March 31, redeeming just above the exemption. Then in April (new financial year), she redeems the remaining ₹1.5L gain and gets another ₹1.25L exemption. She saves an extra ₹15,625 by splitting across two FYs — completely legal.

💡 The Key Insight

The ₹1.25 lakh LTCG exemption resets every April 1. If you're a long-term SIP investor sitting on large unrealised gains, consider "harvesting" up to ₹1.25L of gains every year — sell and immediately reinvest. This resets your cost basis and uses the exemption before it expires, saving you 12.5% on ₹1.25L = ₹15,625 every year, tax-free, for life.

⚠️ Common Mistake

Confusing the 12-month holding period for SIP investors. For SIPs, each monthly instalment has its own 12-month clock. The SIP you started 14 months ago qualifies for LTCG. Last month's instalment is still STCG at 20%. If you redeem your entire SIP today, part of your gain is LTCG (12.5%) and part is STCG (20%) — the calculator handles this split automatically.

📊 Redemption Details
Budget 2024 LTCG Rules: Equity & equity MFs held >12 months: 12.5% tax (no indexation). Exemption: ₹1,25,000 per FY. STT must be paid. Effective from 23 July 2024.
Total amount you invested
Total amount received on redemption/sale
Must be >12 months for LTCG on equity MF/stocks
Other LTCG gains in the same financial year (reduces your ₹1.25L exemption)
Flat rate for equity / equity MF (Budget 2024)
📊

Calculate your LTCG tax liability

Enter your purchase value, sale value, and holding period. We'll compute the exact LTCG tax and your net take-home amount after tax.

LTCG Rules by Asset Class (FY 2025–26)

Asset Class LTCG Holding Period LTCG Tax Rate Exemption
Equity MF (≥65% equity)>12 months12.5% (no indexation)₹1,25,000/FY
Listed Stocks (with STT)>12 months12.5% (no indexation)₹1,25,000/FY
Debt MF (after Apr 2023)AnyAt income slab rateNone
Gold / Silver ETF / FOF>24 months12.5% (no indexation)None
Real Estate>24 months20% (with indexation) OR 12.5% (w/o)Sec 54/54F

Frequently Asked Questions

Can I harvest ₹1.25 lakh gains every year tax-free?
Yes — this is called Tax Loss/Gain Harvesting. Each financial year, you can redeem and immediately re-invest equity MF units to book up to ₹1.25 lakh in gains completely tax-free. The re-invested amount resets your cost basis to the current NAV. Over 20 years, this strategy can save lakhs in LTCG tax by keeping annual gains below the exempt threshold.
What changed in Budget 2024 for LTCG?
Budget 2024 (effective 23 July 2024) made two key changes: (1) LTCG rate on equity increased from 10% to 12.5%. (2) LTCG exemption increased from ₹1 lakh to ₹1.25 lakh per financial year. Indexation benefit on equity and equity MFs was already not applicable before the budget. Debt MF gains continue to be taxed at slab rates (applicable since April 2023).
Is LTCG included in basic income tax exemption limit?
Yes — if your total income (including LTCG) is below the basic exemption limit (₹2.5 lakh for general / ₹3 lakh for 60+ under old regime), LTCG is reduced by the shortfall. For example, if your other income is ₹1.5 lakh and you have LTCG of ₹5 lakh: shortfall is ₹1 lakh (₹2.5L – ₹1.5L), LTCG reduced to ₹4 lakh, then ₹1.25L exempt, so taxable LTCG = ₹2.75 lakh at 12.5%.

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Plan Tax-Efficient Redemptions

BullWiser shows your fund's exact gain/cost per unit to help you plan tax-efficient redemptions. Harvest ₹1.25L gains tax-free every year.