Stock Market Tax Calculator
Calculate tax on stock trading, including STT, capital gains tax, and other charges
Stock market transactions attract various taxes and charges including Securities Transaction Tax (STT), Capital Gains Tax, and other charges. This calculator helps you understand the tax implications of your stock market transactions.
Capital Gains Tax
- Long-term Capital Gains (LTCG): 10% above ₹1,00,000
- Short-term Capital Gains (STCG): 15% for equity
- STCG (other than equity): As per income tax slab
Other Charges
- STT (Buy): 0.025%
- STT (Sell): 0.025%
- Brokerage: Varies by broker
- SEBI Charges: 0.0001%
Tax Calculation Results
Total Transaction Value
Total Charges
Capital Gains Tax
STT
Net Amount
Component | Amount | Percentage |
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Important Notes
- STT is levied on both buy and sell transactions
- Long-term capital gains tax is 10% above ₹1,00,000 exemption
- Short-term capital gains tax is 15% for equity shares
- Brokerage charges may vary based on your broker
Disclaimer: This calculator provides an estimate based on current tax laws. For precise tax planning, please consult your tax professional.
Stock Market Tax Guide & Tutorial
Understanding Stock Market Tax
Stock market transactions attract various taxes and charges. Understanding these charges is crucial for effective tax planning and investment decisions.
Capital Gains
Profits from selling stocks are classified as capital gains, which can be either long-term or short-term based on the holding period.
Transaction Charges
Various charges like STT, brokerage, and SEBI charges are levied on stock market transactions.
Understanding Tax Components
Component | Description | Rate |
---|---|---|
STT (Buy) | Securities Transaction Tax on purchase | 0.025% |
STT (Sell) | Securities Transaction Tax on sale | 0.025% |
LTCG Tax | Long-term Capital Gains Tax | 10% (above ₹1,00,000) |
STCG Tax | Short-term Capital Gains Tax | 15% (equity) |
How to Calculate Stock Market Tax: Step-by-Step
Determine Transaction Type
Identify whether it's a buy or sell transaction and the type of security.
Calculate Transaction Value
Multiply the quantity by price per share to get the total transaction value.
Calculate STT
Apply the STT rate (0.025%) to the transaction value.
Calculate Brokerage
Apply the brokerage rate to the transaction value.
Calculate Capital Gains
For sell transactions, calculate capital gains based on holding period.
Calculate Total Tax
Add up all charges and taxes to get the total tax liability.
Frequently Asked Questions
Long-term Capital Gains (LTCG) and Short-term Capital Gains (STCG) differ in:
- Holding period (LTCG: >1 year, STCG: ≤1 year)
- Tax rate (LTCG: 10%, STCG: 15%)
- Exemption limit (LTCG: ₹1,00,000, STCG: No exemption)
Securities Transaction Tax (STT) is levied on stock market transactions:
- Rate: 0.025% on both buy and sell
- Calculated on transaction value
- Collected by the exchange
You can save tax on stock market gains through:
- Holding stocks for more than 1 year (LTCG)
- Using the ₹1,00,000 LTCG exemption
- Setting off losses against gains
- Carrying forward losses
Stock market losses can be:
- Set off against gains in the same year
- Carried forward for 8 years
- Used to reduce tax liability
Other charges include:
- Brokerage charges
- SEBI charges
- Exchange charges
- DP charges