vinujaglan.com · Founder's official site 
Step by step
- 1
Collect statements
Capital-gains statements from brokers and fund registrars, sale deeds, foreign account details.
- 2
Download AIS
Match every sale reported in AIS with your statements.
- 3
Compute gains
Separate short and long term, apply exemptions (54, 54EC, 54F) and losses.
- 4
File online
e-File → AY 2026-27 → ITR-2; fill Schedules CG, 112A, VDA, FA as needed.
- 5
Pay and e-verify
Pay any balance tax with interest, submit and e-verify within 30 days.
Who must use ITR-2
- Capital gains of any kind — property, land, gold, unlisted or listed shares, mutual funds, bonds
- Crypto and other virtual digital assets (Schedule VDA — taxed at 30%, no set-off of losses)
- More than two house properties, or a house-property loss to carry forward
- Non-residents and RNORs, and residents with foreign assets or income
- Directors and holders of unlisted equity shares
- Total income above ₹50 lakh, or agricultural income above ₹5,000
- Lottery and online-game winnings
Capital-gains rates for AY 2026-27
| Asset | Short-term | Long-term |
|---|---|---|
| Listed shares & equity funds | 20% (section 111A) | 12.5% above ₹1.25 lakh (section 112A) |
| Land & building | Slab rate | 12.5% without indexation; resident individuals/HUFs may pay 20% with indexation on property bought before 23 July 2024 |
| Gold, unlisted shares, other assets | Slab rate | 12.5% without indexation (after 24 months) |
| Debt funds bought after 1 April 2023 | Slab rate, always | — |
| Crypto / VDA | 30% flat | 30% flat |
Schedules that trip people up
- Schedule 112A — scrip-wise details where shares bought before 1 February 2018 use the grandfathered value
- Schedule FA — foreign assets held at any time in the calendar year; missing it can attract heavy penalty under the Black Money Act
- Schedule AL — assets and liabilities when total income exceeds ₹1 crore
- Buybacks — a buyback of shares in FY 2025-26 is taxed as dividend; the cost of those shares is a capital loss
Regime and rebate
The new regime is the default for AY 2026-27: slabs of 0–4 lakh nil, 4–8 lakh 5%, 8–12 lakh 10%, 12–16 lakh 15%, 16–20 lakh 20%, 20–24 lakh 25% and above 24 lakh 30%, with a rebate that makes income up to ₹12 lakh tax-free (₹12.75 lakh for salaried people after the ₹75,000 standard deduction). The rebate does not cover special-rate income such as capital gains.
Filing after the due date
Where things stand on 11 November 2026: the original due dates of 31 July (ITR-1, ITR-2) and 31 August 2026 (non-audit business and professional cases) have passed. You can still file a belated return till 31 December 2026 (late fee under section 234F up to ₹5,000, or ₹1,000 if income is up to ₹5 lakh), and revise a filed return till 31 March 2027 (a fee applies to revisions after 31 December).
Next year: income of FY 2026-27 (Tax Year 2026-27) is taxed under the Income-tax Act, 2025, and returns for it are filed in 2027. The department notifies the forms for that year separately — the names and schedules may change, so check the form notified for Tax Year 2026-27 before filing.
Worked example
Example: Arjun sold equity funds for a long-term gain of ₹2.1 lakh and shares held 8 months for a gain of ₹60,000. LTCG tax: (₹2.1 lakh − ₹1.25 lakh) × 12.5% = ₹10,625. STCG tax: ₹60,000 × 20% = ₹12,000. Both plus cess — and the 87A rebate does not cover them.
Common mistakes
- Leaving out Schedule FA for a small foreign account or ESOPs of a foreign parent
- Reporting only the gains, not the sale value shown in AIS
- Claiming 87A rebate against capital-gains tax
- Setting off crypto losses
Frequently asked questions
ITR-2. Non-residents cannot use ITR-1 or ITR-4.
Yes, if the return is filed by the due date. Short-term loss can be set off against any capital gain; long-term loss only against long-term gain. Carry-forward is for 8 years.
Last reviewed on 11 November 2026 by Vinay Jaglan, VJ & Associates. Law and portal screens change — verify before acting, or ask the office.
