గృహ ప్రవేశం & హోమం, కళ్యాణం , సత్యనారాయణ పూజ సామగ్రి వివరాలు

To calculate this actual gain, the Income Tax department releases a cost-inflation-index (CII) figure every year. Usually, in May, it will release the CII for the last financial year - so the CII for 2010-11 will be released in May 2011. And it's not easy to find; but luckily enough people get to know.

Effectively, the cost of acquisition becomes substantially lower. The formula is:

Indexed Cost of Acquisition = (Actual cost of purchase) * (CII Of Year of Sale)/(CII of Year of Purchase).

Capital Gain = (Sale Price MINUS Indexed Cost of Acquisition).

Capital Gains Tax = 20% of Capital Gain

For example, if you bought 1000 units of a debt fund at Rs. 50 per unit in 2008-09 and sold the 1000 units in 2009-10 for Rs. 55, then:

(Purchase Price = Rs. 50,000 and Sale price = 55x1000 = Rs. 55,000)

a) Indexed Cost of Acquisition = 50,000 x (632/582) = 54,295.

b) Capital gain = 55,000-54,295 = 705.

c) Capital Gains tax = 20% of 705 = Rs. 141.

The indexation benefit allows you to let inflation take its toll on the purchase price; there is no such allowance for "short term" capital gains, in a mutual fund or stock sold within a year of purchase. In that case, the gain (non-indexed) is simply added to your income and your income is taxed appropriately, and that effectively means short term capital gains are taxed at the highest slab that applies to you.