In this last 2-3 years there is increased in a number of people who trade in shares. Thanks to Zerodha, Upstock, Angleone, 5paisa & many other players who are offering services at low cost. There is bit confusion around people who don’t have accounts or taxation knowledge. The confusion is- Do we have to pay tax when we sales our shares while filing IT return? Is there any threshold of capital gain for paying tax? What if we don’t pay it? What is short term capital gain & loss? What is long term capital gain & loss? What is the tax rate for both short & long term capital gain on sales of shares? This 6 question will solve your maximum query. It will help you to understand whether you fall in the category of paying tax or not. So let us first understand what is capital gain or loss in terms of share. Let say you have purchased a 10 share of Rs. 1000 on 01.04.2019 (total amount of buy= 10,000) Now we will disc...