Bonus shares + Existing shares sell and LT or ST tax?

This discussion clarifies the tax implications when selling bonus shares alongside existing ones. If you sell both your original shares and newly allotted bonus shares in a single transaction, the capital gains tax will be calculated separately. Gains from your original shares held for over a year will be treated as Long Term (LT), while gains from the bonus shares will be considered Short Term (ST). Crucially, the acquisition cost for bonus shares is considered zero for tax purposes.