short term capital gain are of two types according to income tax. first one is short term capital gain covered by section 111a and second one not covered by section 111a. The STCG which is covered by sec 111a related to shares and debentures and other securities registered in stock exchange which have tax rate @ 15%. The STCG which is not covered by sec 111a may be like sale of house property in less than 36 months. I want to ask what is the rate of tax of second type of STCG i.e which is not covered by section 111a?
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short term capital gain tax not covered by section 111a
Replies (15)
hi sushil thier is no effective rate for STCG other than Sec.111A it is taxed according to the total income of a person in Slab Rate System.
STCG u/s 111A - taxed @ 15% as per Income Tax Act.
STCG other than 111A- Will be included will other head of incomes under the head Capital gains and taxed as per normal rate of Finance Act.
hiiii
Short term Capital Gain other than covered u/s 111A is charged at the normal rates by including with the other heads of Income..............
It will be calculated as per normal slab rates.
YES I AGREE AS MENTION ABOVE STCG OTHER THAN 111A WILL BE TAXABLE AS NORMAL TAX RATE,
IF ASSESSE IS INDIVIDUAL RESIDENT SLAB BENEFIT WILL TAKE
OTHER WISE NORMAL TAX RATE WILL BE APPLICABE
hey Sushil
I want to correct u tht STCG u/s 111A does not cover Debentures! hence taxed according normal rate of tax
according to the normal tax slab
slab rate available only in case of resident assessee
Also, we can shift income u/s111A when our other income is less than basic exemption limit. But once shifting is done, the STCG u/s111A will be taxed at 10% and not 15% as the finance act is yet to be amended. But when there is no shifting, 111A income can be taxed at 15%.
I purchased Listed Share & this is taken through borrowing the money. so i want to know whether interest on borrowing on purchasing of this share deductable or not? if deductable under which sectiion & any case law on that?
Yes, Interest on Borrowings for Shares Purchased can be deductible. Income on Shares are shows in IFOS. So as per inclusions & exclusions of act itself, we can deduct such interest as they are incurred for earning such income. There is a high court or supreme court order also to that effect.
Yes dear,
it will taxed at normal slab rate
How about STCG in case of non-equity mutual funds?
Hi, there is a Net Short term capital gains other than section 111A - STCL . Can we adjust this negative amount against normal income ?
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