How to calculate Short Term Capital Gains for a non-salaried individual?

Hey @TeamQuicko

My wife is not a salaried individual and has started trading. All these transactions are in STCG. Suppose if she makes 12L in a year, after deducting 2.5 L, do I need to pay tax on 9.5L as per tax slabs (considering the old tax regime) or do I need to pay 15% on 9.5L? There is no intraday or F&O. Do help me out.

Hey @HarishMehta

Short Term capital gains are special rate incomes and taxed at 15%, so after deducting the basic exemption of INR 2.5 lakhs, you have to pay tax on STCG at the rate of 15% on INR 9.5 Lakhs. Additionally, if you had any losses the previous year, you carry forward these losses and adjust them this year against the capital gains to further reduce your liability. You must also keep in mind that you will not be able to claim any chapter VI A deductions on the short-term capital gains that you earn, in order to reduce tax liability.

Hope this helps!