Profit or loss when bought in span of more than a year and later

Taxation
1

Hello,

Assume that I had purchased 100 shares (let it be X), each share @ Rs:1000/- on 1-Jun-2016 and again I bought 100 shares at 950 on 1-Jun-2017. Now I have total of 200 shares.
If I sell 100 shares @ 970 on 3-Sep-2017. How should I consider it as a profit or loss in terms of taxation ?

2

Your average buy price would be 200 shares at 975. When you sell, on 3rd Sept @ 970, you can treat this as a capital loss as you are selling below your purchase price.

3

You need to follow FIFO .(First IN First Out) principle while calculating capital Gains. You will have short term loss as first are sold lesser than the cost.