Manish purchased 1,000 listed equity shares of ₹ 10 each at ₹ 100/- per share from a broker on 4th May, 2016. He paid ₹ 3,000 as brokerage. On 15th March, 2024, he was given bonus shares by the company on the basis of on

Computation of Taxable Income from Capital Gain of Manish for A.Y.2025-26 Particulars Amount (₹) Amount (₹) (A) Short term Capital Gain on Sale of Right Entitlement: Full value of Sales consideration 67,500 Less Cost of acquisition Nil Short-term capital gains on Right Entitlement 67,500 (B) Short term Capital Gain on Sale of Right Shares (500 Share): Full value of Sales consideration (₹ 280 x 500) 1,40,000 Less Cost of acquisition (₹ 90 x 500) (45,000) Short-term capital gains on Right Share 95,000 (C) Short term Capital Gain on Sale of Bonus Shares (500 Share): Full value of Sales consideration (₹ 280 x 500) 1,40,000 Less Cost of acquisition Nil Short-term capital gains on Bonus Share 1,40,000 Total Short Term Capital Gain 3,02,500 (D) Long term Capital Gain on Sale of Original Shares (1000 Share): Full value of Sales consideration (₹ 280 x 1000) 2,80,000 Less Cost of acquisition (FMV as on 31-1-2018) (₹ 150 x 1000) (1,50,000) Long-term capital gains on Original Share 1,30,000 Total Long Term Capital Gain 1,30,000 Taxable Income from Capital Gain* (₹ 3,02,500 + 1,30,000) 4,32,500* Note: *The Long-Term capital gains in excess of ₹ 1,25,000 u/s 112A shall be taken while computing the tax liability on Capital Gains, but it is included as a part of taxable income and therefore the same has not been deducted.