Tax on shares bought and sold in different time periods

Stocks
1

Hello,

I have scenario and would like to know how tax will be calculated on the same.

Suppose I buy 20 shares of ABC Ltd for INR 100/share on 1st Apr 2018 and again buy 40 more shares for INR 125/share on 31st July 2018.

Later on I sell 25 shares of ABC Ltd on 31st Dec 2018 for INR 140/share and again sell rest 35 shares on 10 May 2019 for INR 160/share.

What will be STCG tax and LTCG tax on my profit? Let’s ignore for the moment that there is no LTCG tax till INR 1 lac.

Thanks in advance!

2

For Tax calculation, you have to follow FIFO. First In First Out.
STCG for selling on 31.12.18 =25x140 - (20 x 100 + 5 x 125)
STCG for selling on 10.5.19 = 35x160 - 35x125

3

Acc to FIFO, the 35 shares that I am selling on 10th May 2019 were bought on 31st July 2018. So, STCG tax will be applicable or LTCG tax?

4

I wrongly mentioned as LTCG. In your case there is no LTCG. All are STCG only.