Shares held in a company in liquidation
The period subsequent to the date on which the company goes into liquidation shall be excluded.
When an asset is acquired by gift, will, succession, inheritance or the asset is required at the time of partition of family or under a revocable or irrevocable trust or under amalgamation, etc.
The period for which the asset was held by the previous owner should be included.
Allotment of shares in amalgamated Indian company in lieu shares held in amalgamating company
The period of holding shall be computed from the date of acquisition of shares in the amalgamating company.
Right shares
The period of holding shall be computed from the date of allotment of right shares.
Right entitlement
The period of holding will be considered from the date of offer to subscribe to shares to the date when such right entitlement is renounced by the person.
Bonus shares
The period of holding shall be computed from the date of allotment of bonus shares.
Issue of shares by the resulting company in a scheme of demerger to the shareholders of the demerged company The period of holding shall be computed from the date of acquisition of shares in the demerged company.
Membership right held by a member of recognised stock exchange
In case of shares as well as trading/clearing rights, the period for which the person was a member of the stock exchange immediately prior to such demutualization/corporatization shall be included.
Flat in a co-operative society
The period of holding shall be computed from the date of allotment of shares in the society.
Sweat equity shares allotted by employer
The period of holding shall be reckoned from the date of allotment or transfer of such equity shares.
Unit of a business trust [allotted pursuant to transfer of shares as referred to in section 47(xvii)]
The period of holding shall include the period for which shares were held by the assessee.
Conversion of preference shares into equity shares
The period of holding of equity shares shall include the period for which preference shares were held by the assessee
Units allotted to an assessee pursuant to consolidation of two or more scheme of a mutual fund as referred to in section 47(xviii)
The period of holding of such units shall include the period for which the unit or units in the consolidating scheme of the mutual fund were held by the assessee.
Shares in a company acquired by the non-resident assessee on redemption of Global Depository Receipts referred to in Section 115AC(1)(b)
The period of holding of such shares shall be reckoned from the date on which a request for such redemption was made.
Transactions in shares and securities not given above:
1)Purchase (through stock exchanges) of shares and Securities :
Date of purchase by broker on behalf of investor.
2) Transfer (through stock exchanges) of shares and securities :
Date of broker's note provided such transactions are followed up by delivery of shares and also the transfer deeds.
3) Date of purchase/transfer of shares and securities (transaction taken place directly between parties and not through stock exchanges) :
Date of contract of sale as declared by parties provided it is followed up by actual delivery of shares and the transfer deeds.
4) Date of purchase/sale of shares and securities purchased in several lots at different points of time but delivery taken subsequently and sold in parts :
The FIFO method shall be adopted to reckon the period of the holding of the security, in cases where the dates of purchase and sale cannot be correlated through specific number of scrips.
5) Transfer of a security by a depository (i.e., demat account) :
The period of holding shall be determined on the basis of the first-in-first-out method.