Capital Gains Tax on transfer of Preference share

i dont think preference shares are traded or transfered in at par with equity, they have fixed coupan interest rates and can be ranked at par with debentures, no capital gain benefit available.

Pref shares held less than 12 months - STCG.

The calculation you have stated applies only to equity shares.

Thus a harmonious construction would mean 20% LTCG and normal rates for STCG.

Takeinto consideration other comments as well.