Clarification required on New Tax Regime

[Subramanian Santhanam]

Whether I am eligible for 1 Lakh deduction on Capital gain if I have chosen the new tax regime. Experts kindly clarify.

Thanks.

[SANCHIT SEHGAL]

If you have chosen the new tax regime, LTCG upto Rs. 1,00,000/- is exempt on listed equity shares and mutual funds. However, effective from 23rd July, 2024, this limit has been increased to Rs. 1,25,000/-. 

AI Summary

Long-term capital gains exemption under new tax regime now applies to listed equity and mutual funds, limit increased recently. Under the New Tax Regime, long-term capital gains from listed equity shares and equity-oriented mutual funds are exempt up to a specified statutory ceiling; that exemption threshold was increased with effect from a later specified date, changing the maximum exempt amount available to taxpayers who have chosen the new regime.