{"id":11759,"date":"2020-06-30T12:59:56","date_gmt":"2020-06-30T07:29:56","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=11759"},"modified":"2020-06-30T13:55:46","modified_gmt":"2020-06-30T08:25:46","slug":"capital-gain-tax-and-difference-between-ltcg-stcg","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/","title":{"rendered":"What is Capital Gain Tax and Difference between LTCG &#038; STCG"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The amount\nof gain or profit generated from the sale of the capital asset is known as a\ncapital gain. This profit or gain, in general, is treated as income; therefore,\nit is exposed to tax deductions that need to be paid out in the year in which\ntransfer of the capital took place. It is known as capital gain tax, which can\nbe LTCG and STCG.&nbsp;<\/p>\n\n\n\n<p>Capital gain tax cannot be applied to the inherited property as there is no sale, only a shift of ownership. The <strong>Income Tax Act<\/strong><sup><a href=\"https:\/\/www.incometaxindia.gov.in\/pages\/acts\/income-tax-act.aspx\"><strong>[1]<\/strong><\/a><\/sup> has tax exemption for assets received as gifts via inheritance or will. However, if the person decides to sell that asset, the capital gain tax on the will be applied. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Defining Capital Assets<\/h3>\n\n\n\n<p>The following entities represent the family of capital assets. Those are as follows:-<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"576\" height=\"423\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-184.png\" alt=\"Capital Assets\" class=\"wp-image-11760\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-184.png 576w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-184-300x220.png 300w\" sizes=\"(max-width: 576px) 100vw, 576px\" \/><\/figure><\/div>\n\n\n\n<p>It includes the possession of rights concerning an Indian company. It also covers the control, rights of management, or other legal rights.\u00a0<\/p>\n\n\n\n<p><strong>The following entities are not part of\na capital asset.&nbsp;<\/strong><strong><\/strong><\/p>\n\n\n\n<ul><li>Any stock, or raw material, held for\nprofession or business.&nbsp;<\/li><li>Personal goods like furniture or\nconsumable electronics.&nbsp;&nbsp;<\/li><li>Land used for agriculture.&nbsp;<\/li><li>The central government issued bonds\nsuch as 6\u00bd% gold bonds or national defense gold bonds (1980).<\/li><li>Special bearer bonds (1991)<\/li><li>Gold deposit bond or deposit\ncertificates authorized by Gold Monetisation Scheme, 2015<\/li><\/ul>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#What_are_the_Types_of_Capital_Assets\" >What are the Types of Capital Assets?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#Calculating_Capital_Gains\" >Calculating\nCapital Gains<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#Full_value_consideration\" >Full value consideration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#How_to_Calculate_Short-Term_Capital_Gains\" >How to Calculate Short-Term Capital\nGains?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#How_to_Calculate_Long-Term_Capital_Gains\" >How to Calculate Long-Term Capital Gains?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#Indexed_Cost_of_AcquisitionImprovement\" >Indexed Cost of Acquisition\/Improvement<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#Exemption_on_Capital_Gains\" >Exemption on Capital Gains<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#Section_54_Exemption_on_Sale_of_House_Property_on_Purchase_of_another_House_Property\" >Section 54: Exemption on Sale of House\nProperty on Purchase of another House Property<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/capital-gain-tax-and-difference-between-ltcg-stcg\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_Types_of_Capital_Assets\"><\/span>What are the Types of Capital Assets?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"618\" height=\"342\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-185.png\" alt=\"Types of Capital Assets\" class=\"wp-image-11761\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-185.png 618w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-185-300x166.png 300w\" sizes=\"(max-width: 618px) 100vw, 618px\" \/><\/figure><\/div>\n\n\n\n<h3 class=\"wp-block-heading\">Short-term\ncapital asset<\/h3>\n\n\n\n<p>An asset\nheld under the possession of a person for 36 months or less is called a\nshort-term capital asset.&nbsp;It&#8217;s worth noting that the immovable properties\nsuch as building, land, and house property don&#8217;t serve this period. A time span\nof 24 months applies to such properties.&nbsp;<\/p>\n\n\n\n<p>For\nexample, if you sell your house after possession of 24 months, the gain from\nthis property will be treated as LTCG, provided the selling has been done after\nMarch 31, 2017.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Long-term\ncapital asset<\/h3>\n\n\n\n<p>If the\npossession of the asset surpassed the timespan of 36 months, then it will be treated\nas a long-term capital asset. The period of 24 months cannot apply to movable\nproperty, such as debt-oriented mutual funds or jewelry. They will come under\nthe classification of a long-term capital asset if the possession period\nsurpasses 36 months.<\/p>\n\n\n\n<p>Some assets deem as short-term capital assets provided their ownership pursued for 12 months or less.\u00a0This provision comes into effect if the date of transfer falls after July 10, 2014, regardless of the date of purchase.\u00a0<\/p>\n\n\n\n<p><strong>The assets are as follows:-<\/strong><\/p>\n\n\n\n<ul><li>Company&#8217;s shares or equity listed on\nthe stock exchange.&nbsp;<\/li><li>Securities such as bonds and\ndebentures listed on a stock exchange in India.&nbsp;<\/li><li>Units of UTI, equity-oriented mutual\nfund, or Zero-coupon bonds<\/li><\/ul>\n\n\n\n<p>When the possession of these assets pursued for more than 12 months, they trickled down to the category of a long-term capital asset. In case an asset is acquired by will, gift, succession, or inheritance, the time span for which the previous owner held the asset must be taken into the account while determining whether it&#8217;s a short term or a long-term capital asset.\u00a0In the case of bonus or rights shares, these assets&#8217; allotment periods will use for the holding period&#8217;s estimation.\u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Calculating_Capital_Gains\"><\/span>Calculating\nCapital Gains<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"576\" height=\"354\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-186.png\" alt=\"Calculating Capital Gains\" class=\"wp-image-11762\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-186.png 576w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2020\/06\/image-186-300x184.png 300w\" sizes=\"(max-width: 576px) 100vw, 576px\" \/><\/figure><\/div>\n\n\n\n<p>Since the Capital profit estimation depends on the possession period of the asset, you must keep in mind a few things.\u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Full_value_consideration\"><\/span>Full value consideration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Capital profits\nlure capital gain taxes and are only applicable in the year when the transfer\ntook place even if it didn&#8217;t expose to any sort of consideration.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Cost\nof acquisition<\/h3>\n\n\n\n<p>The\nacquisition cost of the capital asset bear by the seller.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Cost\nof improvement<\/h3>\n\n\n\n<p>Any\nchanges or addition to the capital asset made could lead to expenses is known\nas the cost of improvement. The improvement before April 1, 2001, is subjected\nto non-consideration.<\/p>\n\n\n\n<div class=\"shadow1\"><strong>Note:<\/strong> In some instances where the capital asset transforms into a taxpayer&#8217;s property, the cost of acquisition and improvement shall be borne by the new owner.\u00a0<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_Calculate_Short-Term_Capital_Gains\"><\/span>How to Calculate Short-Term Capital\nGains?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Step 1:\nCommence the estimation with the full value of consideration.<\/p>\n\n\n\n<p>Step 2:\nMake sure to deduct the following:-<\/p>\n\n\n\n<ul><li>Expenditure occurred with such\ntransfer, whether it incurred wholly and exclusively.&nbsp;<\/li><li>Cost of acquisition<\/li><li>Cost of improvement<\/li><\/ul>\n\n\n\n<p>Step 3:\nThis amount is referred to as short-term capital gain<\/p>\n\n\n\n<p>Short term capital profit = Full value consideration.\u00a0<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/tax-residency-certificate-and-how-to-get\/\">What Is A Tax Residency Certificate, And How To Get It?\nHow!<\/a><\/mark><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_Calculate_Long-Term_Capital_Gains\"><\/span>How to Calculate Long-Term Capital Gains?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Step 1:\nCommence the estimation with the full value of consideration.<\/p>\n\n\n\n<p>Step 2: Make sure to deduct the following:<\/p>\n\n\n\n<ul><li>Expenditure occurred with such\ntransfer, whether it incurred wholly and exclusively.<\/li><li>Indexed cost of acquisition<\/li><li>Indexed cost of improvement<\/li><\/ul>\n\n\n\n<p>Step 3: Deduct the resulting number by the tax exemptions provided under sections 54, 54EC, 54F, and 54B.<\/p>\n\n\n\n<p><strong>Long-term capital profit= Full value consideration.<\/strong><\/p>\n\n\n\n<p>Less:\nExpenses incurred concerning such transfer<\/p>\n\n\n\n<p>Less: Indexed Cost of acquisition<\/p>\n\n\n\n<p>Less: Indexed Cost of improvement<\/p>\n\n\n\n<p>Less: Expenses that are eligible for a deduction from full value for consideration*<\/p>\n\n\n\n<p>Note: *Expenses in context of sale gains made a capital asset are deductible from the full value of consideration. These expenses are imperative for the successful transfer of assets.\u00a0<\/p>\n\n\n\n<p>As per Budget 2018, long-term capital profit in the context of equity shares obtained after March 31, 2018, will come under capital gain tax exemption from Rs. 1 lakh per annum. Furthermore, 10% of tax will be imposed on LTCG on equity-based funds surpassing Rs 1 Lakh in one financial year in the absence of indexation&#8217;s benefit.\u00a0<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">In the case of\nsale of house property<\/h3>\n\n\n\n<p>Following\nexpenses which need to be deducted from total sale price:<\/p>\n\n\n\n<ul><li>Amount paid in terms of Brokerage to\nsecure a purchaser.&nbsp;<\/li><li>&nbsp;Expenses in context to Stamp papers<\/li><li>Traveling expenses in the context of\ntransfer. These expenses might occur after the transfer has been affected.<\/li><li>In the case of &#8220;inheritance of\nassets,&#8221; expenditure concerning obtaining a succession certificate and\nexecutor&#8217;s cost may be permissible in some cases.<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">In the case of\nsale of shares<\/h3>\n\n\n\n<p>The deductions\nof the following expenses come under this category.<\/p>\n\n\n\n<ul><li>Broker&#8217;s commission raised by the\nselling of the shares<\/li><li>STT or securities transaction tax not\ncome under deductible expenses.&nbsp;<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">In case of\nsale of jewelry<\/h3>\n\n\n\n<p>Here, a broker&#8217;s services shall be considered as deductible expenses used to secure a buyer. Note that expenses that were subtracted from the asset&#8217;s selling price for the estimation capital profit shall not be deemed as a deduction under <a href=\"https:\/\/corpbiz.io\/income-tax-return-filing\"><strong>income tax return<\/strong><\/a>.\u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Indexed_Cost_of_AcquisitionImprovement\"><\/span>Indexed Cost of Acquisition\/Improvement<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The\nindexation of the cost of improvement and acquisition is achieved by applying\nCII (Cost Inflation Cost). In general, CII is applied when there is a need for\ninflation adjustment concerning the value of the asset. This may lower capital\ngains to a considerable amount and crank up cost base.&nbsp;<\/p>\n\n\n\n<p>Indexed\ncost of acquisition = cost of acquisition\/Cost inflation index (CII)<\/p>\n\n\n\n<p>Keep in mind that the estimation of the Cost inflation index (CII) depends on the year in which the owner claims the possession of the asset for the first time, or 2001-02.\u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Exemption_on_Capital_Gains\"><\/span>Exemption on Capital Gains<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Example:\nKalsi bought a brand new house in July 2004 for the sum of Rs 50 lakh, and the\nsum of 1.8 crore is obtained as the full value of the consideration in FY\n2016-17. Since this property has under the possession for over three years,\nthis would refer to a long-term capital asset. The inflation cost and indexed\ncost has already been taken into account.&nbsp;<\/p>\n\n\n\n<p>As per the formula of indexed cost of acquisition, the adjusted cost of this particular property is Rs 1.17 crore. Apparently, the net capital gain, in this case, came out to be Rs 63, 00,000. The long-term capital gains are prone to a capital gain tax, which is 20%. So, the tax expenditure on these net capital gains will be Rs 12, 97,800, which is a great amount of money that will eventually result in tax pay-out.\u00a0Fortunately, one could short down this huge figure through various tax exemptions on capital gains, provided the sale gain is used to acquire another asset.\u00a0\u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Section_54_Exemption_on_Sale_of_House_Property_on_Purchase_of_another_House_Property\"><\/span>Section 54: Exemption on Sale of House\nProperty on Purchase of another House Property<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>One can\ntake benefit of exemption under section 54 if the sales profit is used for\ninvestment for acquiring another two houses property. Earlier, this provision\nprior amendment was limited to only one house property.&nbsp;<\/p>\n\n\n\n<p>The exemption on two house properties is permissible for once in a taxpayer&#8217;s lifetime, provided the capital profit do not surpass the figure Rs. 2 crores The taxpayer is only eligible to manage an investment of the capital gains and not the entire sale proceeds. If the new property purchase price exceeds the capital gain amount. The exemption will only apply to the total capital gain on the sale.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Conditions for availing\nthis benefit<\/h3>\n\n\n\n<p>1. The\npurchasing of the newer property can be done only in two of the given\nconditions<\/p>\n\n\n\n<ul><li>One year before the sale<\/li><li>Two years after selling the\nproperty.&nbsp;<\/li><\/ul>\n\n\n\n<p>2. The\nsale gains made from assets could be further utilized for construction\npurposes. However, there is a time-constrained of three years with this\nprovision. It means that if the person isn&#8217;t sure of completing the\nconstructions in the given time frame, he\/she must allocate the gain somewhere\nelse to ensure 100% compliance with tax provisions.&nbsp;<\/p>\n\n\n\n<p>3. The\nBudget of 2014-15 already clarified that the purchasing of only one house\nproperty is possible via sale profit of assets to claim this exemption.&nbsp;<\/p>\n\n\n\n<p>4. Please note that this exemption is exposed to dissolution if its owner sells this newer property within three years of its purchase.\u00a0<\/p>\n\n\n\n<p><strong>Let us summarise what we have\nlearned so far.<\/strong><strong><\/strong><\/p>\n\n\n\n<ul><li>Capital gain tax is nothing but a tax imposed on profit that was obtained by selling capital assets.\u00a0<\/li><li>Based on the holding duration, capital profit could be classified into Long term Capital Gain Tax, or Short term Capital Gain Tax. <\/li><li>LTCG is 10% for equity-based mutual funds and 20% for real estate&#8217;s indexation, mutual funds, and other crucial assets.\u00a0<\/li><li>LTCG is free from any sort of indexation benefits concerning equities\/equity mutual funds.\u00a0<\/li><li>STCG, on the other hand, is levied as per the slab rate.\u00a0<\/li><li>The holding duration in the context of LTCG or STCG varies from asset to asset.<\/li><li>LTCG can be applied to real estate in the event when the holding period exceeds two years.\u00a0<\/li><li>LTCG can be applied to debt fund in the event when the holding period exceeds two years.\u00a0<\/li><li>LTCG can be used to stocks\/equity mutual funds in the event when the holding period exceeds one year.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>So, it is clear that the estimation of the Capital-gains tax is done when the asset is sold for monetary gains. Many investors adopt proactive methods to get access to capital gain based on their tax needs. Well, to be frank, capital-gains renders both pros and cons, based on the taxpayer&#8217;s tax situation. Nearly everything you got at your disposal in the form of a tangible entity is treated as a capital asset. One of the biggest drawbacks of having a capital asset is that if they are sold for great profit, the tax authorities require that you report a profit as income. The amount of taxes that you are entitled to pay-out depends on the holding period of the asset prior to selling that can either cause loss or benefit to the taxpayer.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/is-capital-gain-tax-incapable-of-levying-upon-registration-of-sale-deed\/\">\nIs Capital Gain Tax incapable of levying upon Registration of Sale Deed? Know-How!<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The amount of gain or profit generated from the sale of the capital asset is known as a capital gain. This profit or gain, in general, is treated as income; therefore, it is exposed to tax deductions that need to be paid out in the year in which transfer of the capital took place. It [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":11764,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[152],"tags":[699],"acf":{"service_id":"78"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":7694,"readingTime":7,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/11759"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=11759"}],"version-history":[{"count":10,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/11759\/revisions"}],"predecessor-version":[{"id":11774,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/11759\/revisions\/11774"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/11764"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=11759"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=11759"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=11759"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}