BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Long term capital gain on share is calculated by deducting the sale price and cost of acquisition of an asset that has been held for more than 12 months by an investor. This is given by the net profit that investors earn while selling the asset.

Detailed explanation-2: -How to calculate capital gains tax on property? In case of long-term capital gain, capital gain = final sale price-(transfer cost + indexed acquisition cost + indexed house improvement cost).

Detailed explanation-3: -1, 63, 500 x 10 / 100 = Rs. The long-term capital gains tax on the taxable non-equity assets like equity shares, equity-oriented mutual-funds, and units of business trust needs to be calculated using the same formula. In case of these assets, the applicable tax will be 10% without indexation.

Detailed explanation-4: -Such gain is charged to tax at 15% (plus surcharge and cess as applicable). In the given case shares were sold after holding them for less than 12 months, shares were sold through a recognised stock exchange and the transaction was liable to STT, hence, the STCG can be termed as STCG covered under section 111A.