# Rates of Capital Gains Tax
## Section-wise Rate Chart
| Section | Type | Nature of Asset | Tax Rate |
|---|---|---|---|
| 111A | STCG | Equity Share / Unit of Equity-Oriented Fund / Unit of Business Trust (STT paid) | 20% |
| Other STCG | STCG | All transfers other than those covered in 111A | Normal Slab Rates |
| 112A | LTCG | Equity Share / Unit of Equity-Oriented Fund / Unit of Business Trust (STT paid) | 12.5% on LTCG exceeding Rs. 1,25,000 |
| 112 | LTCG | All long-term transfers other than above | 12.5% |
## Section 111A — STCG on Listed Equity
- Applies to Short-Term Capital Gains on:
- Equity shares in a company
- Units of Equity-Oriented Fund
- Units of Business Trust
- Condition: STT paid on transfer (and on acquisition for equity shares acquired after specified date, with exceptions)
- Rate: 20%
## Section 112A — LTCG on Listed Equity
- Applies to Long-Term Capital Gains on the same assets as 111A (STT-paid equity/equity MF/business trust units)
- Exemption: First Rs. 1,25,000 of such LTCG is EXEMPT each year
- Rate: 12.5% on LTCG EXCEEDING Rs. 1,25,000
## Section 112 — Other LTCG
- Applies to LTCG on assets other than those covered in 112A
- Examples: Land, Building, Gold, Debt Mutual Funds, Unlisted shares
- Rate: 12.5% flat
## Important General Notes
### 1. Chapter VI-A Deductions
> Deductions under Chapter VI-A are NOT AVAILABLE against the above special incomes (Capital Gains).
### 2. Basic Exemption Adjustment
> Basic Exemption Limit is NOT available against these special incomes...
> EXCEPT in case of Sections 112, 112A, and 111A — where for a Resident Individual & HUF, any unutilised basic exemption limit can be adjusted against such capital gains.
### 3. How the Basic Exemption Adjustment Works
For a Resident Individual/HUF whose other income is LESS than the basic exemption limit:
- The unused portion of basic exemption can REDUCE the capital gain before applying the special rate.
- This is available for STCG u/s 111A and LTCG u/s 112 / 112A.