CONSEQUANCES OF TRANSFER DEMATE FROM ONE BANK TO ANOTHER

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If your Demat account has been transferred due to a bank migration, such as Citi to Axis, your holding period for shares should remain unchanged. This means shares purchased long ago will still be considered Long-Term Capital Gains (LTCG), even if the bank or broker's system incorrectly flags them as Short-Term Capital Gains (STCG) after the migration. You should be able to correct this by referencing your original purchase dates when reporting your capital gains.

CA k J Patel

CA k J Patel (Querist)

21 August 2024 my demat account was with Citi bank and Citi bank migrated in to Axis bank on july 2024
my demat a/c automatically converted to Axis demat account now if I sell my shared ,it is consider as short term capital gain with profit while I purchased shares in 2015 and it is LTCG with loss
I talked with Bank but they are clueless.
can anyone guide me please??

Thanks in Advance

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

22 August 2024 No. It will be LT holding only, as you have not sold the shares. It is just the change of IFSC code of the same Demat account.

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CA k J Patel

CA k J Patel (Querist)

22 August 2024 if AIS shows it STCG as new broker don't c/f original date of purchase..

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Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

22 August 2024 At the time of sale of these securities, the broker will report it as CG, which you can accept or file feedback, based on your records.

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