Capital Gains Calculator
Understanding Capital Gains
Key Points
- Capital gains arise from selling assets like shares or property.
- Short-term and long-term gains are taxed differently.
- Use our calculator to estimate tax liability.
Practical Example
Selling equity shares bought for ₹1,00,000 in 2020 and sold for 2,00,000 in 2025 (LTCG) yields ₹75,000 taxable gain and ₹7,500 tax. Try our calculator to plan your taxes.
Plan your investments. Use our Capital Gains Calculator to estimate taxes.
Capital Gains and Tax Planning
Key Points
- LTCG on equity is tax-free up to ₹1,25,000 annually.
- Property LTCG benefits from indexation to reduce tax.
- Our calculator helps optimize tax planning.
Practical Example
A property bought for ₹10,00,000 in 2015 and sold for ₹20,00,000 in 2025 yields 4,76,378 taxable gain after indexation, with ₹95,276 tax. Use our calculator for tax planning.
Minimize taxes. Use our Capital Gains Calculator to estimate liabilities.
Estimate Capital Gains Tax with Pagla Tools Capital Gains Calculator
Capital gains tax applies to profits from selling assets like equity shares, property, or other investments. Pagla Tools’ Capital Gains Calculator helps you estimate your short-term and long-term capital gains and tax liability under Indian tax laws. Start planning your taxes today.
What are Capital Gains?
Capital gains are profits from selling capital assets. Key features include:
- Short-Term Capital Gains (STCG): Assets held for a short period (e.g., ≤12 months for equity).
- Long-Term Capital Gains (LTCG): Assets held longer, with indexation benefits for some assets.
- Tax Rates: Vary by asset type and holding period.
Our Capital Gains Calculator simplifies these calculations for you.
How to Use Our Capital Gains Calculator
Our calculator is user-friendly. Follow these steps:
- Select Asset Type: Equity, Property, or Others.
- Enter Purchase Price: Cost of acquiring the asset (e.g., ₹1,00,000).
- Enter Sale Price: Amount received on sale (e.g., ₹2,00,000).
- Input Purchase Year: Year of purchase (e.g., 2020).
- Input Sale Year: Year of sale (e.g., 2025).
- Click Calculate: Hit the "Calculate Capital Gains" button for results.
The calculator displays:
- Purchase Price: Original cost.
- Indexed Cost: Adjusted cost for inflation (if applicable).
- Sale Price: Amount received.
- Capital Gains: Profit or loss.
- Tax Liability: Estimated tax payable.
- Pie Chart: Visual breakdown of Taxable Gains vs. Tax Liability.
Real-Life Problems Solved by Our Capital Gains Calculator
Capital gains tax calculations can be complex, but our calculator helps:
- Equity Shares: ₹1,00,000 purchase in 2020, sold for ₹2,00,000 in 2025 (LTCG) gives ₹75,000 taxable gain, ₹7,500 tax.
- Property: ₹10,00,000 purchase in 2015, sold for ₹20,00,000 in 2025 (LTCG) yields ₹4,76,378 gain after indexation, ₹95,276 tax.
- Debt Funds: ₹5,00,000 purchase in 2022, sold for ₹6,00,000 in 2025 (STCG) gives ₹1,00,000 gain, ₹30,000 tax.
- Short-Term Equity: ₹2,00,000 purchase in 2024, sold for ₹2,50,000 in 2025 (STCG) yields ₹50,000 gain, ₹7,500 tax.
Benefits of Using Pagla Tools
Our Capital Gains Calculator offers:
- Accuracy: Precise calculations per Indian tax laws.
- Time-Saving: Instant results without manual math.
- Visual Insights: Pie chart for clear understanding of gains and taxes.
- Flexibility: Supports multiple asset types and periods.
- User-Friendly: Intuitive interface for all users.
- Free Access: Available 24/7 on paglatool.com at no cost.
Additional Tips for Capital Gains Tax Planning
Minimize your tax liability with these strategies:
- Hold Long-Term: LTCG often has lower tax rates or exemptions.
- Use Indexation: For property and others, indexation reduces taxable gains.
- Leverage Exemptions: Equity LTCG is tax-free up to ₹1,25,000 annually.
- Offset Losses: Use capital losses to reduce taxable gains.
- Consult Experts: For complex cases, seek professional tax advice.
Frequently Asked Questions (FAQs)
What are short-term and long-term capital gains?
STCG applies to assets held for a short period (e.g., ≤12 months for equity), taxed at higher rates. LTCG applies to longer periods, with lower tax rates or indexation benefits.
What is indexation in capital gains?
Indexation adjusts the purchase price for inflation using the Cost Inflation Index (CII), reducing taxable gains for LTCG on assets like property.
Are there exemptions for capital gains?
Yes, LTCG on equity is tax-free up to ₹1,25,000 annually. Certain exemptions (e.g., Section 54 for property) may apply but are not covered in this calculator.
How are equity shares taxed?
Equity STCG (≤12 months) is taxed at 15%. LTCG (>12 months) is taxed at 10% on gains above ₹1,25,000, without indexation.
Why Trust Pagla Tools?
Our Capital Gains Calculator is:
- Expert-Designed: Built by financial experts.
- Transparent: Free with no hidden fees.
- Reliable: Uses standard capital gains tax rules per Indian law.
Visit paglatool.com to estimate your capital gains tax!