taxablity of redeemable shares

Technically, redemption of shares means...the company has bought back your shares and paid you off a certain amount of money. ...The amount received on such redemption is the sale consideration...for this transaction........... If the holding of shares are more than 12 months....the gain is long term and not taxable.........but if the holding period is less than 12 months....you are liable for s.t.c.g tax @ 10 %..