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The Advisory Note Workbench

Kavita Shah sold shares and wants a filed position, not an estimate. Set your treatment on each line and watch the tax move. When you are ready, ask the reviewer.

The client file

Asset
2,00,000 unlisted shares, Meridian Textiles Pvt Ltd
How acquired
Gift from her father on 1 June 2019. He bought them for ₹18,00,000 on 1 March 2017
Sold
15 August 2026 for ₹42,00,000 to an unrelated buyer
Valuer’s report
Fair market value ₹47,00,000 at the sale date
Reinvested
₹15,00,000 in a residential flat on 1 October 2026
Brought forward
₹3,00,000 long-term loss. The prior-year assessment order is missing from the file

Your treatment

Full value of consideration

Which figure is the sale measured against?

Cost of acquisition

She received the shares as a gift.

Reinvestment in the flat

How much of the gain is exempt?

Brought-forward loss

₹3,00,000, with the assessment order still missing.

The computation

Tax at 12.5%, before surcharge and cess