MANAGEMENT

Detailed explanation-1: -Profits from the sale or transfer of non-equity or debt mutual funds will attract a tax of 20% with indexation benefit. How to calculate capital gains tax on property? In case of short-term capital gain, capital gain = final sale price-(the cost of acquisition + house improvement cost + transfer cost).

Detailed explanation-2: -Your taxable capital gain is generally equal to the value that you receive when you sell or exchange a capital asset minus your “basis” in the asset. Your basis is generally what you paid for the asset. Sometimes this is an easy calculation – if you paid $10 for stock and sold it for $100, your capital gain is $90.

Detailed explanation-3: -Long-term capital gain = Final Sale Price – (indexed cost of acquisition + indexed cost of improvement + cost of transfer), where: Indexed cost of acquisition = cost of acquisition x cost inflation index of the year of transfer/cost inflation index of the year of acquisition.

Detailed explanation-4: -Residential Indians between 60 to 80 years of age will be exempted from long-term capital gains tax in 2021 if they earn Rs. 3, 00, 000 per annum. For individuals of 60 years or younger, the exempted limit is Rs. 2, 50, 000 every year.