how to calculate share profit

Tarun Goyal (Querist) 18 August 2010 This query is : Resolved
R/Sir,

In the firm i am doing job my owner purchase 2448 sahre @ 100 in april 1984 & sold it in sep. 2007 @ 300/- per share then how i calculatehis profit on share.

Follow Query

Report Abuse

B.Chakrapani Warrier (Expert) 19 August 2010
Sale value is Rs.734400/-
Cost in 1984 is Rs.244800/-
Indexed cost is Rs.244800/- X 582/125 = Rs 1139789/-
Capital Gains = 734400/- minus 1139789/- = Loss Rs.405389/-
If sale transaction has suffered securities transaction tax and the share are equity shares, then gain/loss is exempted under section 10 (38) of the Income tax Act,1961.