LTCG Grandfathering Calculator (Jan 31, 2018)

What rule does the tool use for the cost of acquisition?

If the sale price is at or above the 31 January 2018 value, cost is the higher of purchase price and that value. If the sale price is below that value but at or above the purchase price, cost is set equal to the sale price, so the gain is zero. If the sale price is below the purchase price, cost is the purchase price and the result is a loss. All three branches are in the tool’s code.

What rate and exemption are built in?

The tool applies an exemption of up to ₹1,25,000 to the gain, taxes the rest at 12.5% and adds 4% cess. These are the figures built into this tool and are labelled with Budget 2024. Indian tax rules and limits change in nearly every Union Budget and the tool is not updated automatically, so the Income Tax Department or a chartered accountant governs.

Is the exemption shared with my other gains?

No. The tool applies the full ₹1,25,000 to this sale alone. If you sold other equity or equity-fund holdings in the same year, the exemption is shared across them in practice, so a single run can understate the tax. Add gains from all sales before relying on the tax line.

Does the equity-shares or mutual-fund choice change the numbers?

No. The asset type selector has no effect on the arithmetic; both options use the same cost rule, exemption and rate. The tool also does not apply a different rate for sales made before a rate change or check the holding period.

How are losses and blank inputs shown?

A loss is shown as a negative amount, for example -₹20,000 for a purchase price of ₹100, a sale price of ₹80 and 1,000 units, with no exemption and no tax. A cleared price box counts as zero and a cleared units box counts as zero, so every amount shows ₹0 until you enter them.

Where do I find the 31 January 2018 value?

For listed shares, use the value from your broker’s grandfathering statement or the exchange record for that date. For mutual funds, use the unit value published by the fund house or AMFI. The tool takes whatever you type and does not verify it, and for some holdings the rule uses a different value, so check your statement.

What is left out of the tax line?

Surcharge on high incomes, brokerage and transaction charges, set-off of losses against other gains, indexation, the one-year holding requirement and the date of sale are not modelled. The tax line is an estimate for a single sale of units bought before 1 February 2018.