Statement of Financial Transactions (SFT) for Depository Transactions - Method for computation of "The Estimated Sale Consideration for the debit transaction" and Frequency for submitting the statement of financial transactions data and Minimum Period of Holding of assets, modified.

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....nsactions (SFT) for Depository Transactions. The format, procedure, and guidelines for submission of information relating to capital gains on transfer of listed securities or units of mutual funds by Depository Institutions was notified vide notification no. 3 of 2021 dated 30th April 2021 as per the mandate of Section 285BA of the Income Tax Act, 1961 and Rule 114E sub-rule 5A. The notification lists various files, file formats, data types for different data fields that need to be reported, and various DQ rules that should be validated by Depository Institutions before submission of the data. 2.  Subsequently, discussions were held with representatives of Depository Institutions. Accordingly, following changes are made to the sa....

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....lue of the transactions executed. The taxpayer will be able to modify the sales consideration before filing the return." 5.  In annexure A (Guidelines for Preparation of Statement of Financial Transactions (SET)) of the existing notification, S.No.5 mentions the following: Security Class Code Security Class Description Minimum Period of Holding LES Listed Equity Share 12 months LPS Listed Preference Share 12 months LDB Listed Debenture 12 months ZCB Zero Coupon Bond 12 months CIB Listed Capital Indexed Bond 12 months EMF Unit of Equity Oriented Mutual Fund 12 months UTI Unit of UTI 12 ....

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....Where more than 35% of its total proceeds are invested in the equity shares of domestic companies, this information should be provided. Note: Where not more than 35% of its total proceeds are invested in the equity shares of domestic companies, (Specified Mutual Fund), it will always be classified as short-term capital asset (Applicable from 1st April 2023) OTH Other Listed Securities (Other than a unit) 12 months - MLD Market  Linked Debenture -- Short-Term Capital Assets (w.e.f. 1st April 2024) 6.  In annexure A (Guidelines for Preparation of Statement of Financial Transactions (SET)) of the existing notification, S.No.6 mentions the following: "For every debit transaction, the corres....

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.... 7.  In annexure D (D.3- Depository Transaction Summary (DEP_TRN_Summ.TXT)) of the existing notification, the data fields 16, 17 & 18 is mentioned as following # Field Mandatory Format Remarks 16. Unit  Sale price Y DECIMAL (18,2) Estimated Sale price per unit. 17. Sale Consideration Y Decimal (18,2) Estimated Sale Consideration. Refer Guidelines 18. COA Y DECIMAL (18,2) Estimated Cost of acquisition without indexation. Refer Guidelines These should be read as following: # Field Mandatory Format Remarks ....