New Delhi, Sept. 14 -- People invest in stocks and mutual funds to make profits from short-term price movements or to build wealth over time, depending on the type of assets. The gains earned from these investments may also attract capital gains tax, if the amount exceeds a certain threshold set by the government.

The new Income-tax Act, 2025, applies to tax years beginning April 1, 2026. Even as the capital-gains framework remains broadly unchanged, the provisions have been renumbered. Listed shares and equity-oriented mutual funds qualify for long-term treatment after a 12-month holding period.

The tax liability depends on factors such as the type of investment, how long it was held and the applicable tax rules. Here's how much tax an...